AMD Reports Second Quarter 2022 Financial Results

Let's say half of their employees work in their fabs, if they could have made something else, and generated more income than with making Intels chips, that's a loss. Opportunity cost. Which is why AMD was right in selling off GloFo. Too much liability in having fabs that potentially could make more money making something else, and risk end up being underutilized and/or outdated. Which is exactly what is happening to Intel right now, which is also the reason they're trying to become a proper foundry business.

Intel has 120,000 employees, clearly some of them aren't pulling their own weight. Which is hard to identify in a big company where everyone is just a number on a spreadsheet to management.

Of course, this is something AMD is also going to face when they reach Intels size (if). But not having fabs has turned out to be an advantage for AMD, which I honestly didn't think it would be when they sold off GloFo. It seemed like desperation at the time (which it certainly was), but it was also a damn good move even if it hadn't provided them with immediate cash flow.

/r/hardware Thread Parent Link - ir.amd.com