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cailianshe news, september 17 (editor: ma lan)intel's big picture is clear. its ceo pat gelsinger announced in a statement that the company has adjusted the layout of its chip foundry business and won a major customer in an effort to turn losses into profits.

specifically, intel will spin off its chip foundry division into an independent subsidiary and add a new operating board. according to gelsinger, the leadership of the foundry business will not change.

in addition, gelsinger also said that intel will suspend its chip manufacturing projects in poland and germany and consider withdrawing its chip packaging and testing business in malaysia.

intel has previously pledged to spend $36 billion to build chip factories in germany, $4.6 billion to build chip factories in poland, and $7 billion to build factories in malaysia. however, intel is also continuing to advance its factory projects in arizona, oregon, new mexico and ohio in the united states.

intel will also sell part of its stake in altera, a programmable chip company it acquired in 2015. according to gelsinger, this is the most important transformation of intel in more than 40 years, and he hopes to use this opportunity to build a stronger intel in the coming decades.

a victory for the foundry business?

the changes in intel's chip foundry business are undoubtedly one of the trends that the market is most concerned about. gelsinger believes that after the business is separated, it will be able to evaluate independent sources of funds and introduce external financing.

intel has spent about $25 billion a year on its foundry business over the past two years, which has become a major drag on intel. but on the other hand, intel hopes to revive its foundry business to achieve its ambitious goal of manufacturing chips for other customers and competing with tsmc and samsung electronics.

gelsinger added that intel has signed an agreement with amazon web services to jointly develop an ai chip using the 18a chip manufacturing process. in addition, intel will also produce customized xeon 6 processors for amazon web services to consolidate the partnership between the two companies.

this is undoubtedly a major development for intel's foundry business. gelsinger emphasized that intel's foundry transaction channels have tripled, and its deal with amazon is a multi-year, multi-billion dollar collaboration that may also involve more chip designs, which means that intel is progressing towards becoming a world-class foundry service provider.

after the announcement of the business adjustment, intel's stock price surged. as of press time, intel's stock price had risen by more than 6% before the market opened on tuesday. however, the company's market value has fallen by 56% this year.