I wonder how much the production interruptions in Japan could play into the "over-supply" of Fabs? It seems wise to have diverse Fab locations and while very expensive to build/run, owning your Fab does give you control over your destiny (for good or for bad).
if there was oversupply why fablite/fabless companies suffered during '10-Q3&Q4 coz' of delayed shipments/outcomes where big players had the bigger pie always on time? Where was this overcapacity and why did foundries let their small size customers down?
Another Otellini speech where he is trying to mirror focus on other direction. I truelly agree with u @Rick, where are intel's serious moves against ARM? soon after it will be too late
Intel is a large and profitable chip producer. I am sure they are keenly aware that Windows and x86 are running out of steam. And they're expanding capacity while at the same time pointing out an overcapacity in the industry? So what gives?
There is more than one metric that needs to be addressed to be successful in the evolving mobile market. Of course power consumption is of prime importance. Also of great importance is cost.
Intel could manufacture an Arm license but that incurs royalties. Intel in the past, with some notable failures, has attempted to architect to meet specific applications. The 432 comes to mind. However, Android type environments could benefit from a specific architecture. There is, in my opinion, the likelihood of increasing power/workload efficiency while reducing cost.
To do this Intel needs to step back and approach the silicon/software solution much more holistically. It would mean substantially increasing the software side of the equation.
mranderson, How will GF gain? Who's using GF's 40 and 28nm today?? Have not heard anyone claiming they are using GF technology today, have you? If you know, please copy the links here.
TSMC is the only foundry who're having these issues. Others even don't know what the issues are!