Intel Faces a Challenging 2023 as Demand Weakens and Competition Intensifies

Intel remains the market share leader in the integrated design and manufacturing of microprocessors found in PCs and servers. Historically, the firm supplied the most powerful CPUs, though it has several manufacturing missteps in recent years that has caused the company to lose market share. We think the company will eventually catch up with its rival Taiwan Semi (TSMC) for advanced manufacturing, but the turnaround will take some more time and we anticipate further share loss and downbeat financial results out of Intel for the next year or two.