Intel Faces Potential Breakup as Broadcom and TSMC Explore Key Divisions

Intel's financial struggles and competitive pressures spark interest from rivals, with Broadcom eyeing its chip design unit and TSMC considering its manufacturing facilities.

Intel's Products Division reported $48.95 billion in revenue for 2024, a 2.7% increase from 2023 but a 14% decline from 2022, as it faces stiff competition from Nvidia and AMD.
Intel Foundry posted a $13.41 billion operating loss in 2024, with revenue dropping $1.4 billion to $17.5 billion, while Nvidia and Broadcom test its 18A process for potential adoption.
Broadcom is reportedly interested in acquiring Intel's chip design and marketing unit, while TSMC is exploring a stake in Intel's manufacturing plants, though U.S. government resistance to foreign control may complicate such deals.
Intel's All Other segment, which includes Altera and Mobileye, saw a 32% revenue decline in 2024, with Altera in buyout talks with Silver Lake and Intel retaining its stake in Mobileye.
Intel's strategic pivot to custom chipmaking targets break-even for its foundry by 2027, but delays in its $28 billion Ohio plant and global supply chain challenges underscore its uphill battle.