Technology

59123 readers

2299 users here now

This is a most excellent place for technology news and articles.

Our Rules

Follow the lemmy.world rules.
Only tech related content.
Be excellent to each another!
Mod approved content bots can post up to 10 articles per day.
Threads asking for personal tech support may be deleted.
Politics threads may be removed.
No memes allowed as posts, OK to post as comments.
Only approved bots from the list below, to ask if your bot can be added please contact us.
Check for duplicates before posting, duplicates may be removed

Approved Bots

founded 1 year ago

MODERATORS

[email protected]

1094

Intel's stock drops 30% overnight —company sheds $39 billion in market cap | As of now, Intel's market value is a fraction of Nvidia's worth and less than half of AMD's (www.tomshardware.com)

submitted 3 months ago by [email protected] to c/[email protected]

275 comments fedilink hide all child comments

Intel's stock dropped around 30% overnight, shaving some $39 billion from the company's market capitalization since rumors of a pending layoff first emerged. The devastating results come after the chip giant reported a loss for the second quarter, complained about yield issues with the Meteor Lake CPU, provided a modest business outlook for the next few quarters, and announced plans to lay off 15,000 people worldwide.

When the NYSE closed on July 31, Intel's market capitalization was $130.86 billion. Then, a report about Intel's massive layoffs was published, and the company's market capitalization dropped sharply to $123.96 billion on August 1. Following Intel's financial report yesterday, the company's capitalization dropped to $91.86 billion. Essentially, Intel has lost half of its capitalization since January. As of now, Intel's market value is a fraction of Nvidia's worth and less than half of AMD's.

As Intel's actions look rather desperate, analysts believe that Intel's challenges are existential. "Intel's issues are now approaching the existential," Stacy Rasgon, an analyst with Bernstein, told Reuters.

you are viewing a single comment's thread
view the rest of the comments

[–] [email protected] 61 points 3 months ago (1 children)

After how horribly they handled the whole hardware defect scandal with their 13th and 14th gen i Series processors, this is 100% deserved.

Intel is a cautionary tale of what happens when you allow bean counters who care more about EBITDA than their customers and staff to run the show.

[–] [email protected] 26 points 3 months ago (1 children)

This sounds like a modern day version of the Schlitz mistake back in the seventies where they cut the quality so much, so fast, that the formerly largest brewery in America became a worthless brand that nobody trusted.

The b-school lesson from this was to drop the quality of your product more slowly so people wouldn't notice.

I figured no big company would ever suffer consequences from shitty product ever again because they'd figured out the drip instead of the open floodgates.

I hope more companies get to enjoy this fate, especially food producers.

[–] [email protected] 4 points 3 months ago

The corruption drips slowly inside as well.