Intel is actually uncertain about whether it should spin out its foundry division into a new entity, but there is a lesson for the company from the past, particularly coming from its arch-rival AMD.

When you look at the recent developments at Intel, the foundry department is certainly under the massive influence of economic and political factors. More importantly, board members and several shareholders are reportedly inclining towards a foundry spin-off; however, Intel's CEO Lip-Bu Tan is actually against it, and this argument has created a lot of uncertainty within the company. Interestingly, in order to analyze how a spin-off might turn out, Intel has a great example coming from AMD and what happened when it turned into a fabless firm.

Background Context: AMD Becoming a Fabless Firm Fo

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