delivered a mixed Q2, with revenue coming in above expectations but missing on earnings. The shortfall was largely due to $1.9 billion in GAAP-only restructuring charges tied to workforce reductions and an additional $800 million in impairment and depreciation on idle manufacturing equipment. All things considered, not a disastrous quarter — but far from encouraging given where the business stands.
New CEO Lip-Bu Tan didn’t waste time sugarcoating Intel’s situation. After his first full quarter, he laid out a direct and unapologetic vision for the company, even noting he would personally review all chip designs going forward. The approach felt appropriately heavy-handed for a turnaround and reflected an understanding of what’s required to fix the core issues. It was also reassuring to hear a clear commitment to building out full-stack AI solutions, including a stronger focus on systems and software.
Still, major questions remain—especially around the capital-intensive Foundry business. If Intel continues to struggle producing advanced chips for its own needs, it’s hard to see how external customers will trust them to deliver.
For more details, key highlights, and commentary, check out the high-level earnings summary.
