The semiconductor industry has seen impressive growth in recent years, with companies like Nvidia, Broadcom, and Taiwan Semiconductor Manufacturing Company (TSMC) capitalizing on key market trends. Nvidia, for instance, has surged forward with its advanced graphics processing units (GPUs), which play a critical role in training artificial intelligence models. Meanwhile, Broadcom has solidified its standing by supplying vital network infrastructure to data centers and assisting businesses in custom chip design. TSMC, on the other hand, remains the dominant force in chip manufacturing, serving major players like Nvidia, Qualcomm, and Advanced Micro Devices.
Intel, a diversified semiconductor giant, has not enjoyed the same level of success in its foundry business. The company’s foundry segment has been under significant financial strain, with 2024 revenues totaling $17.5 billion marking a 7% decline from the previous year. Compounding this issue, Intel recorded an operating loss of more than $13.4 billion in the segment, nearly doubling its losses from 2023.
In the first quarter of 2025, Intel reported an encouraging 7% year over year growth in foundry revenue, reaching $4.7 billion. However, company executives noted that some of this revenue had been pulled forward from future quarters, signaling potential deceleration in the coming months.