A "great" Intel should be worth around $1 trillion, claims the renowned chip expert and ex-Intel engineer Jim Keller, saying that a business split-off is a "fire sale."
Intel's True Value Should Be Much Higher As It's A Firm With High Ambitions, Says Jim Keller, Being Against A "Consortium"
The Intel business sell-off fiasco has evolved tremendously, given that in the beginning; we saw the talks of Qualcomm acquiring the business. Now, it has taken an interesting twist, with firms like TSMC and Broadcom in the race. In the midst of all this, Jim Keller has made interesting remarks, as he says that Intel getting divided into separate entities isn't a move to "unlock shareholder" value; rather, it is like putting up a discount on a heavily underpriced product.
I think a great Intel is worth $1 trillion. Seems a little careless to throw w it away
— Jim Keller (@jimkxa) February 18, 2025
For those still living under the rock, we previously reported on how TSMC and Broadcom are interested in acquiring Intel's specific divisions, notably the manufacturing and foundry business, that would essentially split Team Blue into two entities handled by foreign companies. While this proposal might boost shareholder value, it definitely won't contribute to the cause of the semiconductor markets, and based on what we know of the Trump administration, they won't allow this deal to proceed.
Another interesting proposition for how Intel's future could turn out is that the firm could have its fabrication units handled by TSMC, and that way, both of them can collaborate to achieve better process output. Yet again, things are quite uncertain, but optimism is definitely in the direction of Team Blue, and so is the market spotlight, as Intel's shares have seen a massive 18% rise over the past five days.
One thing is certain: With the new administration in, the future of US semiconductor markets is brighter than ever, especially considering that companies like TSMC are in the pursuit of avoiding Trump tariffs by potentially cooperating with the administration in any way possible. Trump has raised the possibility of putting as much as 100% tariffs on Taiwan chips, so it is likely that a decision about Intel's future will be made soon.
About the author: Muhammad Zuhair is a hardware and technology reporter for Wccftech, specializing in the semiconductor industry and the complex interplay between technology, manufacturing, and geopolitics. His coverage focuses on the corporate strategies and technological roadmaps of industry giants like TSMC, NVIDIA, Samsung, and Intel. Zuhair's expertise lies in deconstructing complex topics such as fabrication nodes (e.g., 2nm process), the economic impact of policies like the CHIPS Act, and the strategic development of AI infrastructure from NVIDIA, AMD and Intel.
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