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.

    • BombOmOm
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      224 months ago

      We don’t know and Intel is being incredibly mum about the entire situation.

      • peopleproblems
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        84 months ago

        Which probably means a lot of corporations that have Intel inside their everyday computers may be less than enthusiastic about what they spent money on.

    • @BatrickPateman
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      144 months ago

      Read somewhere that everything 65W TDP and up is affected. Laptop CPUs should be mostly fine then.

    • @mrvictory1
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      54 months ago

      IIRC Intel confirmed all Gen13/14 CPUs with 65W TDP or more have the same issues K series do.