Intel has solved the 7-nanometer process problem

Intel’s stock price plunged 10% after the release of its 2020 Q3 quarterly earnings report. The stock price plummeted naturally for a reason because the financial report showed that Intel’s revenue and profit declined during the quarter, which caused investor dissatisfaction.

Even the data center business, which has always been Intel’s cash cow, has also declined, and the PC business, which had previously erupted due to the epidemic, has also declined year-on-year.

Prior to this, Intel’s revenue grew at around 20% year-on-year in each quarter, while Intel’s revenue fell by 5% in Q3 2020, and the PC business growth rate was only 1%.

CEO Bob Swan expressed that: despite the impact of the epidemic, our team still achieved stable performance in the quarter. We are confident in our long-term strategy when delivering leading products. Through our large-scale demand shift and active management under economic uncertainty, we can still predict that this will be a record year for business growth. At the same time, we will continue to strive to gain share in a diversified market and increase revenue with the rise of data, artificial intelligence, 5G networks, and edge computing.

The stock price dive is related to Intel’s poor performance in the quarter. At present, Intel is mainly producing 14-nanometer products with full horsepower. The production capacity of 10-nanometer products is currently increasing, and the launch of 7-nanometer products will be delayed for half a year.

CEO Bob Swan said that the company has found a problem with the 7-nanometer process. This problem is the reason why Intel announced a six-month delay. The company said that it has deployed a repair program and has made amazing progress on the 7-nanometer process.

Via: VentureBeat