Intel CEO admits the company has fallen behind rivals

Intel’s new CEO, Lip-Bu Tan, has told employees that the company is no longer among the world’s leading chipmakers.

Speaking candidly, Tan acknowledged that Intel has lost ground to competitors and failed to keep pace in the race for AI leadership, according to Oregon Live.

“Twenty, 30 years ago, we were really the leader. Now I think the world has changed. We are not in the top 10 semiconductor companies,” he said.

Tan also noted that Intel was too late in AI, with Nvidia now “too strong,” and admitted growing customer dissatisfaction with the company’s chips.

Tan emphasized that Intel has significantly fallen behind in AI computing, while Nvidia has emerged as the dominant force in the industry, capitalizing on the AI boom. As a reminder, Nvidia’s market cap recently surpassed $4 trillion for the first time, while Intel’s valuation has dropped by half to around $100 billion.