TSMC Founder: Intel Should Have Focused on AI, Not Chipmaking

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2 min read

TSMC Founder: Intel Should Have Focused on AI, Not Chipmaking

Morris Chang, founder of Taiwan Semiconductor Manufacturing Co. (TSMC), suggested that Intel should have concentrated on artificial intelligence (AI) instead of venturing into the chipmaking contract business. His comments came after the recent departure of Intel's CEO, Pat Gelsinger.

At an event promoting his autobiography, Chang shared that he was unsure of the exact reasons behind Gelsinger’s departure. However, he noted that it appeared Intel had been searching for a new direction and leadership. Gelsinger, who was ousted earlier this month, had been striving to reclaim Intel’s dominance in producing cutting-edge computer chips, a strategy that sought to compete with TSMC as a contract manufacturer.

"I don't know why Pat resigned. I don't know if his strategy was bad or if he didn't execute it well... Compared with AI, he seemed to focus more on becoming a foundry. Of course now it seems that Gelsinger should have focused on AI," said Chang.

Chang expressed doubt about Intel's future direction, adding that the company now faced challenges in identifying both a new strategy and a new CEO. Intel has yet to respond to requests for comment.

Under Gelsinger's leadership, Intel had ambitious plans to regain its position in chip manufacturing and AI, but the company faced setbacks, including the loss of key contracts and growing tensions with TSMC, which Chang described as "a bit rude."

Chang’s recent memoir, released last month, delves into TSMC's history and its relationships with major clients such as Apple and Qualcomm, as well as Intel’s missed opportunity to invest in TSMC during the 1980s.