How Do They Make Money?

Intel Research:

Intel's revenue comes from the sale of semiconductor chips, the majority of which are CPUs. This process entails two fundamental steps: the initial design phase and the subsequent manufacturing stage, all of which is done in house.

Business Segments:

Intel Products

This segment still generates the most income for the company and consist of multiple sub-segments, which i tried my best to understand and describe here:

Client Computing Group (CCG): Intel core Processors

The CCG supplies the personal computer processor market and is still the biggest source of revenue fore the company. They make Chips for desktops and laptops.

Data Center and AI (DCAI): Intel® Xeon, Intel® Gaudi® Processors

The DCAI supplies chips for Servers and is heavily involved with AI.

Network and Edge (NEX):

Makes IPUs, chips designed to speed up servers’ central processing units by offloading tasks such as scanning network traffic for malware. NEX also provides Ethernet adapters for connecting servers to network equipment, fiber optic equipment and related products for telecommunications providers.

Intel Foundry

The Foundry side of the Business is all about providing other companies with Intel technology. This includes manifacturing, optimization of manifacturing- and packaging processes of modern Chips, to have more efficient supply chains. The foundry arm of the company is heavily invested in, and is expected to break even in 2027. An intel foundry subsidiary is announced. The goal is to diversify income, achieve more stream lined manufacturing processes, higher compatibility with other manifacturers (chiplets) and more transparency within the company. This side of the business is involved with the US Government and other customers like Nvidia and Google.

Secure Enclave program:

designed to expand the trusted manufacturing of leading-edge semiconductors for the U.S. government and fortify the domestic semiconductor supply chain.

(q3,24 Earnings release)