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[winjer]

Intel Reports $4.1 Billion Q3 Profit After 18 Months of Losses

Intel is back in the black after a long stretch of red ink. The company reported a profit of $4.1 billion for the third quarter of 2025 — its first since late 2023. That's a big turnaround from the $16.6 billion loss it suffered during the same period last year. Revenue came in at $13.7 billion, up slightly from $13.3 billion a year ago, suggesting that the recovery has more to do with efficiency and investment than a major sales jump. Intel's Chief Financial Officer David Zinsner says the positive numbers were helped by fresh funding from both government and industry partners. The U.S. government bought a 10 percent stake for $9.5 billion in August, a move meant to support domestic chip manufacturing. Nvidia and SoftBank also joined in with investments of $5 billion and $2 billion. Zinsner noted that demand for x86 processors, ASICs, and AI accelerators has grown so quickly that Intel can't make enough chips to keep up. He expects that supply shortfall to continue into next year as the company ramps up production for its new 18A process and AI-ready product lines.

But not everything is back on track. Intel's Foundry division — now a separate business unit — is still losing money. It posted a $2.3 billion loss in the same quarter, despite generating $4.2 billion in revenue. Most of that came from Intel itself rather than outside customers, showing how the division is still in a transition phase. Intel has been spending heavily to catch up to TSMC's cutting-edge manufacturing processes, but so far those efforts haven't made Foundry profitable.

The company says it will keep investing heavily in new fabrication plants and equipment through 2026 to regain a technological edge and win more external contracts. Those projects are expensive and will likely keep Foundry in the red for a while, but Intel views them as necessary for its future as both a chip designer and a manufacturer.
For now, Intel's return to profitability shows some momentum after two tough years of losses and restructuring. The company still has a long way to go to close the gap with Asian foundries like TSMC, but with strong backing from Washington and major tech investors, Intel has a chance to stabilize its operations and focus on the next generation of AI and x86 processors. If demand stays as high as Zinsner predicts, 2026 could be another profitable year — this time with a more balanced mix of chip design and manufacturing success.

Tooo big to fail....

 

[cebri.one]

This is a quite simplistic view. Yes, Intel is being backed by the goverment because the only two other major semi manufacturers are 20 min away from a Chinese air attack.

However, the foundry is losing money because of the inefficiencies of using several nodes at the same time and all of them in limited capacity. If Intel had managed to get some contracts for Intel 3 the picture would probably be better, but currently they still have 14nm, Intel 7 (the only fully utlized), Intel 4 and Intel 3 nodes running on paralell, all solely dedicated to internal use.

So you had a massive RD investment in the last 5 years to developed 3 major nodes (Intel 7, Intel 4/3 and Intel 20A/18) that are not going produce massive volumes to cover for the cost. But it seems that 18AP will close any advantage TSMC had in terms of manufacturing technology, but they need to figure out:

1) how to spin out the Foundry so AMD, NVIDIA and other potential customers are given full guarantees that their IP is safe in case they decide to go with Intel Foundry.
2) how to deploy enough capacity to both cover Intel and potential customer demand. The 18A node line isn't going to manufacture any significant volume compared to what TSCM can produce before 2027.

 

[FinalBossWithTheMostPower]

My shares:

 

[SantaC]

Would AMD get backing also if theyre in trouble?

 

[Zathalus]

Would AMD get backing also if theyre in trouble?

Probably not. The US Government doesn't give about Intel processors, the fabs are critical.

 

[StereoVsn]

Probably not. The US Government doesn't give about Intel processors, the fabs are critical.

You do need processor design expertise and US gov closely collaborates with Intel on that. AMD spun off Global Foundries quite a while back and their work is purely commercial.

Realistically though I think Gov would intervene if AMD would about to completely go under.

 

[A.Romero]

I like their products, I hope they get their shit together. Their latest desktop line is embarrassing

 

[Yoshichan]

Monday gon' be good

 

[Dr.D00p]

In the same category as Boeing, simply too important to US national security to ever be allowed to go under.

...see, we're all a bunch of dirty, filthy commie socialists when we need to be.

 

[Gamer79]

I own an i5 13600k. It is an absolute beast of a cpu and wipes it's ass with the equivalent amd price point cpu.

 

[Gonzito]

Do you think that if I send them my bills, they will pay for them?

 

[Team Andromeda]

This is a quite simplistic view. Yes, Intel is being backed by the goverment because the only two other major semi manufacturers are 20 min away from a Chinese air attack.

Well said, It's almost like people want the CCP to control everything and be the Superpower

 

[Skifi28]

Well said, It's almost like people want the CCP to control everything and be the Superpower

Ah yes. Trump or China, who do you want delivering freedom to the rest of the world?

 

[Rentahamster]

Do you think that if I send them my bills, they will pay for them?

That depends. How many nanometers are you?

 

[Gonzito]

That depends. How many nanometers are you?

Yes

 

[Team Andromeda]

Ah yes. Trump or China, who do you want delivering freedom to the rest of the world?

I'll take USA over the CCP anyway of the week, thanks

 

[Skifi28]

I'll take USA over the CCP anyway of the week, thanks

For most of the world, I don't think the difference is going to be that large. China at least didn't just try to destroy the world's economy like that Senile fool did. For the record I'm not really cheering for one side over the other, just providing some food for thought.

 

[Team Andromeda]

For most of the world, I don't think the difference is going to be that large. China at least didn't just try to destroy the world's economy like that Senile fool did. For the record I'm not really cheering for one side over the other, just providing some food for thought.

No it's just run over its own students, stock pilling more Nukes, gave the world COVID and at the top of the list for state sponsored cyber attacks
And you're so nasty to poor sleepy JOE, For the recorded I'm being sarcastic