- Intel secured $8.5 billion, including $3.5 billion from the Department of Defense and a potential $5 billion from Apollo Global.
- To save $10 billion, Intel plans to cut over 15,000 jobs and halt new facilities in Malaysia and Poland.
- Intel is losing market share to AMD, and Qualcomm may explore a stock-for-stock merger as a potential acquisition strategy.
Intel is said to have raised $8.5 billion in capital in the last few days. As part of the Department of Defense’s Secure Enclave initiative, Intel has formally been granted authority for $3.5 billion in direct funding.
Apollo Global, which oversees assets valued at nearly $350 billion, is also prepared to invest up to $5 billion in Intel. Moreover, to cut costs by $10 billion, the company is chopping off more than 15,000 jobs and implementing other creative cost-cutting measures.
Why it matters: The capital raised will help Intel invest in future projects and maintain operational viability.
Intel has put a two-year hold on building new advanced packaging facilities in Malaysia and Poland, citing “market conditions” as justification. However, the company is still losing market share in desktop, server + HPC, and chip deals like the upcoming PlayStation 6 to AMD.
Qualcomm is also reportedly interested in acquiring Intel, especially when it is at its lowest. However, Qualcomm will not directly acquire Intel. The ARM giant lacks the funds to pay for it.
That said, an alternative might be possible: a stock-for-stock merger in which investors in Intel trade their holdings for Qualcomm shares.
Whether it turns out good or bad, we eagerly await the results. While CES 2025 may seem like a whole new era for Intel. CES 2026 may mark a significant shift in the company’s fortunes.
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[News Reporter]
Malik Usman is student of Computer Science focused on using his knowledge to produce detailed and informative articles covering the latest findings from the tech industry. His expertise allows him to cover subjects like processors, graphics cards, and more. In addition to the latest hardware, Malik can be found writing about the gaming industry from time to time. He is fond of games like God of War, and his work has been mentioned on websites like Whatculture, VG247, IGN, and Eurogamer.
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