The companies on the Global 500 employ 70.2 million people, and their revenue represents more than one-third of the world’s GDP.

Fortune Global 500

With a combined revenue of $21 trillion and $2.1 trillion in profits, the 2026 Fortune 500 is the definitive list of America's largest companies.

Fortune 500

The 300 companies on this year’s list brought in over $12.5 trillion in revenue for the latest 12 months, with the median revenue figure at $24 billion.

America's Most Innovative Companies

This ranking evaluates how Fortune 500 companies are deploying AI, and how technology leaders value those investments relative to industry peers.

Fortune AIQ 50

The corporations on our annual list of the world's 500 largest companies combined to generate $41.7 trillion in revenue over the past year.

Almost $20 trillion in revenue—and a record-breaking $1.87 trillion in profits. Introducing the 2025 Fortune 500, the definitive list of the biggest companies in America.

F500 2025-Intel

Intel is one of the largest semiconductor chip makers in the world. Founded in 1968, it designs, develops, manufactures, markets, and sells computing products and offers related services.

The 300 companies on this year’s list brought in over $12.6 trillion in revenue for the latest 12 months, with the median revenue figure at $22 billion.

The corporations on our annual list posted aggregate revenues of $41 trillion for the second year in a row.

Industries included in the sector are computers, internet services, IT services, semiconductors, and software companies.

Fortune Sector Leaders: Technology

The Fortune 500, in its 70th year in 2024, ranks the biggest U.S. companies by revenue.

The 200 companies on this list are transforming industries from the inside out.

The corporations on our annual list of the world’s largest companies delivered a record $41 trillion in aggregate revenues.

The 300 companies on this list are transforming industries from the inside out.

Fortune collaborated with the Diligent Institute to rank the most innovative boards of directors among S&P 500.

Modern Board 2023-Intel

Intel made the 2023 list as a result of its age dispersion and board independence. But it’s weathered a stormy year with supply-chain snarls in the chip industry and <a href="https://fortune.com/2022/07/15/pc-prises-increasing-as-demand-falls-intel-chip-prices/">depressed demand</a> for personal computers. The company’s shares fell by about 35% from <a href="https://www.google.com/finance/quote/INTC:NASDAQ?sa=X&amp;ved=2ahUKEwiv_LyLiMH-AhU7kokEHYQrCKgQ3ecFegQIKBAa&amp;window=1Y">April</a> 2022 to 2023, and it reported a 32% dip in fourth-quarter earnings year over year. The chipmaker cut management pay in early 2023 as part of a turnaround plan—including a<a href="https://fortune.com/2023/02/01/intel-pay-cut-pat-gelsinger-samsung-amd-sk-hynix-q4-earnings/"> 25% cut</a> to CEO Pat Gelsinger’s base pay—and conducted layoffs as well. Intel has made several new board appointments over the past year, including Lip-Bu Tan, founding managing partner of Walden Catalyst Ventures; and Barbara Novick, cofounder of asset management firm BlackRock. It also tapped Frank Yeary, a managing member of private investment firm Darwin Capital Advisors and an existing member of Intel’s board, as its new chair. There are five women on Intel’s 12-person <a href="https://www.intc.com/board-and-governance/board-of-directors">board</a>.

Fortune Modern Board 25

See which workplaces made this year's list.

GPTW Manufacturing Production Large 2023-Intel

Employees say: 
 
"The work culture is more personal and idea-driven. We have open conversations, and I am not afraid of speaking my heart out. I believe each employee has a voice, and management encourages us to try new things."

Best Large Workplaces in Manufacturing and Production

The Fortune 500, in its 69th year in 2023, ranks the biggest U.S. companies by revenue.

F500-2023-062-Intel

Semiconductor manufacturer Intel took some knocks in 2022 amid slumping PC sales, but it remains on track to achieve its goals of opening new factories and churning out chips as advanced as those made by Taiwan-based TSMC. 
<ul> 
 	<li>In April 2023, Intel reported the largest quarterly loss in company history: $2.8 billion. After the first-quarter loss, Intel said that it would implement layoffs across the company to reduce costs.</li> 
 	<li>One bright spot was Intel-controlled Mobileye, maker of systems and software for self-driving cars, which boosted sales 16% in the first quarter of 2023.</li> 
 	<li>In late 2022 and early 2023, Intel launched next-generation processors including its fourth-gen Xeon Scalable processors, ramping up production to meet pent-up demand.</li> 
</ul>

Aggregate sales hit $37.8 trillion last year—an increase of 19%, the highest annual growth rate in the list’s history.

Modern Boards 2022 Intel

The pioneering chip manufacturer earned the No. 4 spot because of its strengths in board independence and age dispersion.  
 
Despite up-and-down stock performance of late, Intel received a recent <a href="https://www.marketwatch.com/story/intel-is-on-a-long-and-expensive-road-but-stock-may-not-meaningfully-underperform-further-analyst-says-11645634423">upgrade from analysts</a> due to improved cash flow and long-term projects put in place by CEO Pat Gelsinger, who took on the role in February 2021. Gelsinger <a href="https://fortune.com/2021/12/02/intel-aims-to-vault-ahead-of-competition-during-chip-shortage/">has pledged</a> $250 billion over the next decade for capital expenditures, and Intel is opening two $10 billion fabrication plants in Arizona and another two $10 billion plants in Ohio. The CEO was <a href="https://www.cnbc.com/2022/03/02/why-intels-ceo-was-a-guest-at-bidens-state-of-the-union-address.html">acknowledged by President Biden</a> at the State of the Union address in 2022 for his plans to open a semiconductor hub near Columbus. 
 
Intel’s board has been chaired since January of 2020 by Omar Ishrak, a former chairman and CEO of Medtronic. 
 
The rest of the company’s <a href="https://www.intc.com/board-and-governance/board-of-directors">slate of directors</a> has a distinct academic flavor that is relatively rare for a corporate board. Andrea Goldsmith and Tsu-Jae King Liu are the deans of the engineering schools at Princeton University and UC Berkeley, respectively. Risa Lavizzo-Mourey is a former professor of public health at the University of Pennsylvania; she was previously CEO of the Robert Johnson foundation. Frank Yeary is the former vice chancellor at UC Berkeley, though he previously spent 25 years in finance, including an executive role at Citigroup; he is currently a managing member at Darwin Capital Advisors. 
 
CORRECTION: An earlier version of this story incorrectly identified Jim J. Goetz as the chair of Intel's board. Goetz is an independent director.

This year’s Fortune 500 marks the 68th running of the list.

F500 2022-Intel

Intel has had a challenging couple of years, as manufacturing and design problems have impaired its rollout of new chips. Its woes have contributed to the global semiconductor shortage, and Intel has been dethroned by Samsung as the world’s leading chipmaker by revenue. CEO Pat Gelsinger is hoping that expanding its production pipeline can restore Intel’s fortunes: The company has pledged $250 billion over the next decade for capital expenditures, and over the next few years it plans to open two new fabrication plants in Arizona and another two in Ohio, investing a total of $40 billion in those projects.

Total revenue for the world’s biggest companies fell 4.8% to $31.7 trillion this year—the first decline in half a decade.

G500 108 Intel

It’s been a rough year for the semiconductor giant, and unlike some other companies, Intel can’t put all the blame on COVID-19. In July 2020, Intel shocked the tech industry when it said it would delay a long-awaited upcoming 7-nanometer computer chip owing to manufacturing problems. The surprise postponement spooked investors, who were already worried that the company was lagging competitors like Taiwan Semiconductor Manufacturing Co. In early 2021, former VMware CEO Pat Gelsinger became Intel’s new top boss—a homecoming of sorts, since Gelsinger previously worked at the chipmaker for 30 years. Now, investors are hoping Gelsinger will be able to pull off a turnaround.

This year’s Fortune 500 marks the 67th running of the list.

F500-2021-40-Intel

For an astounding 13th straight year, Apple claims the top spot in Fortune’s annual ranking of corporate reputation, based on a survey of almost 3,800 executives, directors, and analysts.

World's Most Admired Companies

This year's Fortune Global 500 generated $33.3 trillion in revenues and $2.1 trillion in profits.

G500-2020-138-Intel

Intel’s big bet on artificial intelligence still hasn’t resulted in blockbuster sales. The semiconductor giant’s 2019 revenue increased 2% year-over-year, to $72 billion. Amid increased competition from the likes of Nvidia and AMD, Intel is doubling down on acquisitions to give it the A.I. technologies and expertise it seeks. Case in point: the $2 billion purchase of Israeli A.I. chip maker Habana Labs, announced in December.

This year's Fortune 500 marks the 66th running of the list.

F500-2020-045-Intel

Here are the World's Most Admired Companies for 2019 as ranked in their industries. See who made the list.

This year's Fortune Global 500 generated $27.7 trillion in revenues and $1.5 trillion in profits.

This year's Fortune 500 marks the 65th running of the list.

These 52 companies from across the globe are doing well by doing good.

Change the World

Here are the World's Most Admired Companies for 2018 as ranked in their industries. See who made the list.

This year's Fortune 500 marks the 64th running of the list.

Here’s our look at 57 companies that do well by doing good.

Here are the World's Most Admired Companies for 2017 as ranked in their industries. See who made the list.

This year's Fortune 500 marks the 63rd running of the list.

Here are the World's Most Admired Companies for 2016 as ranked in their industries. See who made the list.

This year's Fortune Global 500 generated $27.6 trillion in revenues and $1.5 trillion in profits.

This year's Fortune 500 marks the 62nd running of the list.

Here’s our look at 50 companies that do well by doing good.

Business insiders have spoken: Asked which companies they most admire, more than 4,100 executives, directors, and analysts chose these top 50 All-Stars.

The world's 500 largest companies generated $31.2 trillion in revenues and $1.7 trillion in profits in 2014. Together, this year's Fortune Global 500 employ 65 million people worldwide and are represented by 36 countries.

This year's Fortune 500 marks the 61st running of the list. Wal-Mart claims the top spot again. See who made the list.

Nike, Cisco, MasterCard, SABMiller, Vodafone, Google—and 45 other companies that are doing well by doing good.

Google tops the list once again, marking its eighth appearance and fifth time as No. 1.

Fortune 100 Best Companies to Work For

Global business is back. After limping through a worldwide financial crisis and economic slowdown, the 500 largest companies ranked by revenues shattered all sorts of performance records in 2013: They racked up combined revenues of $31.1 trillion, up 2.5% from 2012, and profits soared 27% to nearly $2 trillion. China’s 95 companies (up from 89 last year) posted $5.8 trillion in revenues. The U.S. has four fewer companies on the list than last year but remains (for now) the country leader, with 128 corporations on the list—including No. 1 Wal-Mart Stores—reporting $8.6 trillion in revenues. 

Wal-Mart stayed on top as its sales crept closer to half-a-trillion dollars. Apple moved into the top five. And UnitedHealth Group continued its steady climb. 

Company Info

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Intel is one of the largest semiconductor chip makers in the world. Founded in 1968, it designs, develops, manufactures, markets, and sells computing and related products and services.

Q2 2026

Q1 2026

Q4 2025

Q3 2025

Q2 2025

Q1 2025

Q4 2024

Intel (INTC): Company Profile, Stock Price, News, Rankings

legacy

Intel

intel

for standing by, and welcome to Intel Corporation's 4th Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen only mode. After the speakers' presentation, there will be a question and answer session. As a reminder, today's program is being recorded. And now I'd like to introduce your host for today's program, Mr.

John Pitzer, Corporate Vice President, Investor Relations. Please go ahead.

Thank you, Jonathan, and good afternoon to everyone joining us today. By now, you should have received a copy of the Q4 earnings release and earnings presentation, both of which are available on our Investor Relations website, intc.com. For those joining us online today, the earnings presentation is also available in our webcast window. I'm joined today by our Interim Co CEOs, Michelle Johnson Holthouse and Dave Zinsner. As you know, Michelle is also CEO of Intel Products and Dave continues to serve as Intel CFO.

In a few moments, Michelle will open up with some summary comments before providing more detail on Intel products. Dave will then discuss Intel Foundry and the overall financials, including our Q1 guidance. Before we begin, please note that today's discussion contains forward looking statements based on the environment as we currently see it, and as such, are subject to various risks and uncertainties. It also contains references to non GAAP financial measures that we believe provide useful information to our investors. Our earnings release, most recent annual report on Form 10 ks and other filings with the SEC provide more information on specific risk factors that could cause actual results to differ materially from our expectations.

They also provide additional information on our non GAAP financial measures, including reconciliations where appropriate to our corresponding GAAP financial measures. With that, let me turn things over to Michelle.

Thank you, John, and let me add my welcome. It's been roughly 2 months since Dave and I stepped into our roles as Interim Co CEOs. From day 1, we have been working closely together alongside the Board to drive better execution of our strategy. There are no quick fixes. And we are committed to improving our performance and rebuilding our credibility through persistent hard work that delivers tangible results.

As part of this, we are driving more focused investments across the business. We cannot be all things to all people and we are prioritizing areas where we can drive differentiated value. We are also continuing to simplify our business and become a leaner, more efficient company. And most of all, we are doing a better job of listening to our customers to ensure we meet their needs. Q4 was a step in the right direction.

We delivered revenue, gross margin and EPS above our guide. Intel products executed to drive revenue in the quarter even as PC inventory continued to normalize. And Intel foundry drove incremental operating efficiencies while achieving key grant related milestones, which supported solid upside to gross margins. As Co CEOs, you can expect us to be very straightforward and direct. We only make commitments we are confident we can deliver.

We firmly believe that what we say is not nearly as important as what we do and everything we do must be in service of our customers. Innovating to solve their most pressing challenges is the surest path to creating shareholder value. This is the mindset I have brought to my position as the CEO of Intel Products. This is a great business with great people, partners and IP to design world class products from edge to cloud. I take nothing for granted, But I firmly believe that the core X86 architecture and the ecosystems we have built and invested in over the decades create a solid foundation for success.

Our customers share this view, but they need us to improve our execution and hit our commitments. I am setting clear priorities and directions in each business to drive better outcomes. I think about Intel products in 3 buckets: First, client edge, 2nd, traditional data center and third, the AI data center. Let me spend a few moments on each. In client, Intel CPUs power roughly 7 out of every 10 PCs.

This is a strong position that gives us advantages in the market. That said, the market is becoming more competitive, especially as we see new entrants trying to participate in the AIPC category. Personally, I thrive on competition. It drives a healthy paranoia across everything we do and we're using it as motivation to up our game even more. The success of Core Ultra across Meteor Lake, Aero Lake and Lunar Lake has established Intel as the market leader in AIPC CPUs and we remain on track to ship more than 100,000,000 cumulative systems by the end of 2025.

We are innovating at scale unlike any of our competitors. This was on display earlier this month at CES, where we launched the enterprise versions of our AI CPUs with compelling new features to Intel vPro. This is a testament to the strong ecosystem we have built with IT departments around manageability, security, trust and brand. And we expect these investments to position us well as corporations begin their migration to Windows 11. Alongside our investments in enterprise, our ecosystem reach also positions us well in the AI PC consumer markets.

We are working with more than 200 ISVs across more than 400 features to optimize their software on R silicon. I'm excited about the new applications I'm seeing in the pipeline that will begin to proliferate over the coming months. Our goal is to innovate, partner and fortify our position as the preferred CPU of choice. Looking ahead to the rest of the year, we will strengthen our client roadmap with the launch of Panther Lake, our lead product on Intel 18A in the second half of twenty twenty five. As the first volume customer of Intel 18A, I see the progress that Intel Foundry is making on performance and yields.

And I look forward to being in production in the second half as we demonstrate the benefits of our world class design and process technology capabilities. 2026 is even more exciting from a client perspective as Panther Lake achieves a meaningful volumes and we introduce our next generation client family code name Nova Lake. Both will provide strong performance across the entire PC stack with significantly better costs and margins for us enhancing our competitive position and reinforcing our value proposition to our partners and customers. Let me now turn to our traditional data center business. The team has made good progress towards strengthening our offerings and driving better, more predictable execution.

This year is all about improving Xeon's competitive position as we fight harder to close the gap to competition. The ramp of Granite Rapids has been a good first step. We are also making good progress on Clearwater Forest, our first Intel 18a server product that we plan to launch in the first half of next year. All of this provides a strong foundation on which to build as we execute. The world's data center workloads still primarily run on Intel silicon and we have a strong ecosystem especially within enterprise.

We are going to leverage these strengths as we work to stabilize our market share in 2025. One of the ways we'll do this is by reengaging the x86 ecosystem. We have seen a positive response from the X86 Ecosystem Advisory Group we formed last fall and we are encouraged by the enthusiasm for building both semi custom and custom products. This is a big area of opportunity for the business and we look forward to talking more about this as we have news to share. Turning to the AI data center, I will start by saying that this is an attractive market for us over time, but I am not happy with where we are today.

On the one hand, we have a leading position as the host CPU for AI servers and we continue to see a significant opportunity for CPU based inference on prem and at the edge as AI infused applications proliferate. On the other hand, we're not yet participating in the cloud based AI data center market in a meaningful way. We have learned a lot as we have ramped Gauti and we are applying those learnings going forward. One of the immediate actions I have taken is to simplify our roadmap and concentrate our resources. Many of you heard me temper expectations on Falcon Shores last month.

Based on industry feedback, we plan to leverage Falcon Shores as an internal test chip only without bringing it to market. This will support our efforts to develop a system level solution at rack scale with Jaguar Shores to address the AI data center. More broadly as I think about our AI opportunity, my focus is on the problems our customers are trying to solve. Most notably the need to lower the cost and increase the efficiency of compute. AI is not a market in the traditional sense.

It's an enabling application that needs to span across the compute continuum from data center to the edge. As such, a one size fits all approach will not work and I can see clear opportunities to leverage our core assets in new ways to drive the most compelling total cost of ownership across the continuum. Before I turn the call over to Dave, let me close by speaking as Intel Foundry's largest wafer customer. I have a pretty simple approach. When we are able to combine world class products with world class process technology, we win.

As CEO of Intel Products, I will always make process technology decisions based on what is best for my customers. And Intel Foundry will need to earn my business every day just as I need to earn the business of my customers. Having said that, I'm confident in Intel Foundry's team ability to support my current and future product roadmap and I'm excited to do more business with them as their process technology continues to advance. A stronger Intel products combined with a more competitive Intel foundry is a recipe for success for Intel overall. Dave, over to you.

Thanks, Michelle. Let me add my welcome. I'm going to address 3 topics today. Update on Intel Foundry 2nd, Q4 full year financials and 3rd, our Q1 guidance. Starting with Intel Foundry, I've had an opportunity to meet with a number of our partners and potential customers for Intel Foundry over the last couple of months.

I come away from those meetings encouraged by the opportunity we have in front of us and I've received clear feedback on what our customers need from us to succeed. This starts with our execution on Intel 18A. This has been an area of good progress. Like any new process, there have been puts and takes along the way, but overall, we're confident that we are delivering a competitive process. We're excited by the launch of Panther Lake this year and the internal ramp of Intel 18A in the second half that will support increased volumes and improved profitability in 2026.

From the perspective of external customers, Intel 18A is a very competitive offering that gives each of them a reason to engage with us. However, foundry wins are about more than just technology. Trust is also a significant factor. Customers must believe you can execute consistently and be willing to invest in IP to port a design to a new foundry. That's why past transitions in the industry have generally started with customers giving new foundry partners smaller volumes, then gradually increasing as trust grows.

We've made good progress, but to accelerate this, I'm asking the team to redouble their efforts on ease of porting, IP availability and best known foundry methods. I'm particularly pleased by the willingness of our suppliers and partners to engage with us, augmenting our expertise and hard work with theirs. Job number 1 is earning the customer's trust. The Intel 18a design wins to date provide good validation of the strategy and we continue to have a healthy RFQ pipeline of potential customers. But we won't win every deal out of the gates.

We'll be selective and focused on areas where we are confident that we can be a meaningful contributor to the success of our customer and we look forward to updating you as RFQs become wins. In addition, we continue to have good momentum in advanced packaging and in our collaboration with Tower Semiconductor and UMC. All three are critical to utilize our assets longer for higher rates of return. This is a good segue into my other key areas of focus for Intel Foundry, improving our financials and making sure that we're deploying your capital appropriately. At roughly $18,000,000,000 in revenue, Intel Foundry today is larger than all but one external foundry.

That's clearly not reflected on our P and L with negative gross margins and a greater than $13,000,000,000 operating loss in 2024. We're going to systematically attack our costs and remain highly focused on our goal of delivering breakeven operating income for Intel Foundry by the end of 2027 and we expect to demonstrate improvements this year. The financial benefits of shifting our wafer volume from Intel 7 to Intel 18A along with learning to run our fabs more efficiently and our process nodes longer will be important drivers of improving our financials. Beyond 2027, we need to drive to cash flow from operations that supports our capital spending needs and ultimately generate a great return on your capital. I remain very optimistic on our opportunity at Intel Foundry.

The pervasive growth of AI is driving accelerating and unprecedented demand for silicon and there continues to be an unmet need for greater choice and overall manufacturing capacity in the industry today. TSMC is a valued supplier to Intel products and important partner to IMS and they've established a very high standard for what it takes to be a world class foundry. But the market overall needs multiple players and as we execute, Intel Foundry has a very important role to play globally and especially here in the U. S. Where we continue to invest in leading edge R and D and manufacturing capacity.

We're also pleased to sign with the U. S. Department of Commerce a definitive agreement awarding us up to $7,860,000,000 in grants. As you know, these grants are milestone based and we have already received $1,100,000,000 in Q4 and have received an additional $1,100,000,000 in January of Q1. In addition, we continue to make good progress building out our secure enclave in partnership with the Department of Defense.

We look forward to continued engagement with the Trump administration as we advance this work and support their efforts to strengthen U. S. Technology and manufacturing leadership. Finally, as you will recall, we announced our intention to establish an independent subsidiary structure for Intel Foundry to provide clear governance and operational separation. This structure also enables us to seek additional funding options from both strategic and financial partners, which we are now actively beginning to explore.

Let me now turn to our consolidated financial results and Q1 guidance. $14,300,000,000 up 7% sequentially and at the high end of the range we provided in October as a result of solid growth in CCG, equipment sales at IMS and the Edge business of NEX. Non GAAP gross margin came in at 42.1 percent, 260 basis points ahead of guidance on higher revenue, better costs and the receipt of our first CHPS grant, offset partially by inventory reserves related to Gauti. We delivered 4th quarter earnings per share of $0.13 versus our guidance of $0.12 Higher revenue, stronger gross margin and improved operating leverage was offset by lower interest and other income, which includes an accrual related to our 2nd skip agreement of roughly $750,000,000 reflecting an adjustment in our planned capacity ramp in Ireland. In Q2, we began the process of resizing our expense structure to support more modest long term growth, including adjusting our capacity plans to more conservative levels, driving impairments in Q3 and this accrual in Q4.

Q4 operating cash flow was positive $3,200,000,000 down approximately $900,000,000 sequentially due to the cash outlays associated with our Q3 restructuring charges. We had gross CapEx of $6,300,000,000 with offsets of $1,600,000,000 in the quarter, resulting in an adjusted free cash flow of negative $1,500,000,000 As I mentioned earlier, we also received a portion of the CHIPS grants this quarter. For the full year, revenue was $53,100,000,000 down 2.1% year over year. Modest year over year growth in Intel products was more than offset by lower revenue at Mobileye and Alterra as well as the forecasted decline in Foundry Services due to the end of life on traditional packaging revenue. Full year gross margin was 36% and down 760 basis points due to Q3 impairments, lower revenue and inventory impacts.

Full year EPS was minus $0.13 and down $1.18 on lower revenue, lower gross margin and higher period charges. We generated $8,300,000,000 in cash from operations, made $24,000,000,000 of gross capital investments and generated capital offsets of approximately $13,400,000,000 from Skip Partner contributions and government grants and incentives. As a result, adjusted free cash flow was minus $2,200,000,000 and we ended the year with $22,100,000,000 of cash and short term investments. Moving to segment results for Q4. Intel Products revenue was $13,000,000,000 up 7% sequentially.

CCG revenue was up 9% quarter over quarter as the rate at which our customers digested inventory slowed meaningfully from Q3. While difficult to quantify, we suspect a portion of Q4 revenue upside was due to customers hedging against potential tariffs. DCAI revenue was up slightly sequentially off a better than expected Q3 as demand for traditional servers remained stable. Revenue for NEX was up 7.5% sequentially and is now up more than 20% from Q2 lows as customers are returning to more normal buying patterns especially in our Edge business. Operating profit for Intel products was $3,600,000,000 28 percent of revenue and up $300,000,000 quarter over quarter on higher revenue and reduced operating expenses.

Intel Foundry delivered revenue of $4,500,000,000 up 3% sequentially on increased EUV wafer mix and higher equipment sales by IMS. EUV Wafer revenue grew from 1% of total revenue in 2023 to greater than 5% in 2024. Intel Foundry operating loss in Q4 of $2,300,000,000 improved meaningfully sequentially as Q3 was impacted by $3,100,000,000 of impairments. Excluding impairments, operating loss would have been roughly flat quarter on quarter. Turning to All Other, Mobileye reported revenue of $490,000,000 up 1% sequentially with operating profit of $103,000,000 and earlier today guided for full year 2025 increases to both revenue and operating income.

Alterra delivered revenue of $429,000,000 up 4% sequentially. Operating margin was 21% versus 2% in Q3 on better gross margins and operating leverage. For Q1, we expect Altera revenue to be down sequentially less than overall Intel consolidated. We continue to make good progress on the stake sale of Alterra and see a path for an IPO in the coming years. Now turning to guidance.

Q1 has historically been our seasonally weakest quarter of the year, down high single to low double digits percentage sequentially on average. In addition, we see added pressure coming from macro uncertainty, especially around tariffs, balancing of PC inventory and increasing competition. These mitigating factors support a more tempered revenue outlook as we come into the New Year. As a result, we're forecasting a revenue range of $11,700,000,000 to $12,700,000,000 in the Q1 of 2025, down between 11% to 18% sequentially. Within Intel Products, we expect revenue to decline across all three of our segments at roughly similar rates.

We expect Intel Foundry revenue roughly flat to down modestly quarter over quarter, helped by continued mix shift to EUV Wafers, Intel 18A samples and advanced packaging. At the midpoint of $12,200,000,000 we expect gross margin of approximately 36% with a tax rate of 12% and breakeven EPS all on a non GAAP basis. Let me take a few moments to provide some commentary that may be helpful for your full year 2025 modeling. At the consolidated level, we expect gross margin to improve from Q1. Intel Products gross margin was 51% in 2024 and is expected to decline this year due to product mix in both CCG and DCAI.

Intel Foundry gross margin will improve on EUV mix shift and growth in advanced packaging despite expected depreciation growth in 2025 of roughly 10%. We continue to target 2025 OpEx of $17,500,000,000 with further reductions in 2026. We expect non controlled income or NCI to net to roughly 0 in Q1 and be in the range of $500,000,000 to $700,000,000 impact this year on a GAAP basis. NCI is expected to grow in fiscal year 2026 to a range of $1,200,000,000 to $1,400,000,000 on a GAAP basis and increase further in future years as we increase wafer outs at our fabs where we have agreements with Skip Partners. We anticipate that our 2025 gross capital investments will be approximately $20,000,000,000 at the low end of our previous guide of $20,000,000,000 to $23,000,000,000 reflecting further capacity adjustments to Ohio and Ireland as well as better utilization of what we call our construction in progress.

Specifically, we invested ahead of demand over the past few years and these capital investments will enable us to meet expected demand at a lower level of spending as we drive to more efficiently deploy our capital. We expect 2025 net CapEx of $8,000,000,000 to $11,000,000,000 with roughly half of the offsets expected to come from government incentives and tax credits and half from partner contributions. Delevering in 2025 remains a top priority for us on lower CapEx, increased cash from operations and value unlock across our non core assets. Finally, I'll remind you that we will provide new segment reporting in conjunction with our Q1 earnings. We expect to make further changes to our segments including moving the Edge portion of NEX into CCG and our Auto business from All Other into CCG.

In addition, we expect to move the networking portion of NEX which includes Xeon sales into DCAI and the IMS equipment business out of Intel Foundry into All Other. I'll wrap up by saying that Q4 was a solid quarter to close out a challenging year. With that said, our profitability is below where it needs to be and we must enhance our competitive position in the market. Michelle and I will continue taking actions to improve the operational and financial trajectory of the business. We'll remain focused on building a stronger Intel Products business and becoming a more efficient Intel Foundry.

And by driving continued progress in these areas, we're confident in our ability to unlock value for our stakeholders. Before we open the line to questions, it's worth mentioning that the Board remains intensely focused on the search for a permanent CEO. The search is progressing, but we have nothing new to report and won't be able to add additional information on this topic today. With that, I'll turn it over to John to start the Q and A.

Thank you, Dave. We will now transition to the Q and A portion of our call. As a reminder, we would ask each of you to ask one question and a brief follow-up question where applicable. With that, Jonathan, can we take the first question please?

Certainly. And our first question for today comes from the line of Ross Seymore from Deutsche Bank. Your question please.

Hi, guys. Thanks for letting me ask a question. I guess the first one would be for MJ. You talked about no quick fixes, but a lot of things to improve the roadmap, specifically on the DCAI side of things. Can you talk about how much you think Granite is closing the gap?

It sounds like Clearwater Forest is not mentioned nearly as much as far as a 2025 event either from a launch or from a revenue perspective. So if there's any updates on that? And then just overall, what it's going to take and when do you think we will be able to externally see that gap close versus competitors?

Sure. Thanks for the question, Ross. I look at it this way. So when I talk about no quick fixes, I think it's going to be 1 to 2 years of consistent execution and continuing to see better products each year, really to bring our customers back to the table and be excited about Intel's roadmap. Granite Rapids is a good first step in doing that.

It does close the gap. Our customers are excited about it and we are starting to see the competitiveness of that product materialize in volume. But I'm also very clear eyed about where we stand. And so we've just got to see that continued throughout 2026 when we get to Diamond Rapids, etcetera. You also asked me about Clearwater Forest.

So I really look at the data center market in kind of 2 buckets. We have our P core products, which you know is Granite Rapids and then we have our E core products, which equates to Clearwater Forest. And what we've seen is that's more of a niche market and we haven't seen volume materialize there as fast as we expected. But as we look at Clearwater Forest, we expect that to come to market in the first half of twenty twenty six. 18A is doing just fine on its performance and yield for Granite Rapids, but it does have some complicated packaging expectations that move it to 2026.

But we expect that to be a good product and continue to close the gap as well. But this is going to be a journey. It's not a destination.

Yes. Switching over to Dave on the profitability side. Can you just walk us through some of the puts and takes on the gross margin sequentially in the Q1? Obviously, revenues are down, but anything else? And then you mentioned that it would be the low point of the year, the gross margin in the Q1.

But what would be the headwinds and tailwinds as you think through 2025 as

So for the Q1, the biggest obvious contributor to gross margins sequentially is the revenue decline. At the midpoint, we're declining a little over $2,000,000,000 And so that obviously, mostly fixed cost business that does affect it. We also did have a couple of bluebirds in Q4. One was the revenue beat and so that actually elevated the revenue a bit. But the other was when we signed the chips agreement, we were able to take some of the grant and accrue it as kind of a benefit to cost of sales because it offset period expenses we had spent before.

So we weren't sure we were going to sign it in the Q4, which is why I didn't guide that in the guidance from last quarter, but obviously it materialized and that pushed the gross margins up for the Q4. In the Q1, I think what and we've kind of telegraphed this now for several quarters. Intel products gross margins are going to be under pressure this year. Some of the parts have a higher cost, in particular, Lunar Lake has a higher cost, as you know, because it's got the memory and package. And so, we're basically buying that memory and turning around and selling it at the same price.

That's really weighing the margins down on Lunar Lake. So margins for products are going to be under pressure pretty much throughout this year. Then as Panther Lake comes in volume next year, more materially and in addition, the products beyond that, we'll start to see some improvement in margins on Intel products. Now that was always to be offset in a lot of ways by the margins of Intel foundry. We see more of a mix of EUV wafers.

They have better pricing with a better cost. And so we'll see a mix improvement throughout the year. We're also reducing our spending there in period expenses as part of our kind of overall $10,000,000,000 plus cost spending reduction. But it doesn't really show up in the Q1. It's not until we get into the second and third quarter that we start to see that improvement show up.

So those are really the bigger drivers of margins on the Q1. It is a low point as we talked about. The benefits are going to be really around margins improving on Intel foundry as the mix of EU wafers increases throughout the year, in particular as we get Panther Lake in there in the back half of the year and we're selling 18A wafers at a higher margin. And then next year, we have Panther Lake with more volume and all those wafers start to come back and that becomes a really big benefit to Intel overall.

Thank you, Ross. Jonathan, can we have the next question please?

Certainly. And our next question comes from the line of Stacy Rasgon from Bernstein Research. Your question please.

Hi guys. Thanks for taking my question. First question just on the segment guide for next quarter. Why are all three product segments down equally when it sounds like you've got more headwinds just on the surface of PCs inventory digestion and maybe the roll off of some of that tariff pull forward. What's going on in the data center and the NAX businesses that makes them as bad as a client into Q1?

Well, broadly across all markets and we didn't necessarily telegraph every market in terms of where we think. But I'd say broadly, we're a little bit cautious on the macro and that affects all markets. In addition, seasonality does play in most of the markets and that does impact the Q1 as well. So I would say combination of just macro uncertainty combined with kind of typical seasonality across all the businesses. Jason, do you have a follow-up question?

Yes, I do. Thank you. So you also talked about increased competitiveness weighing on margins at least into Q1. So again, I presume that's a question on pricing. I guess, is that right?

Do you expect that to persist through the year? And how do you think about that competitiveness potentially weighing on pricing across client and especially in the data center?

Yes. Okay. So the co CEOs are trying to figure out who should answer that. Okay. Go ahead, Michelle.

Yes. The way I look at that is we do have increased competition as we see new market entrants particularly come in to CCG. We've got a very good product in Lunar Lake there. But as Dave talked about, the margins on that product are more pressured based on the cost of the product. We are going to stem the market segment share decline in client and we're going to go after winning every socket.

That mirrors itself when you think about the data center market as well. As I said, Granite Rapids is a very positive step in a competitive direction, but we have to stem the tide of share loss in data center. And so we will be fighting for every socket in that business. And the way I look at it is, we need to be aggressive, we need to win share and we need to show our customers that they can win with us.

Thank you, Stacy. Jonathan, can we have the next question please?

Certainly. And our next question comes from the line of TJ MUSE from Cantor Fitzgerald. Your question please.

Yes, good afternoon. Thank you for taking the question. I guess first question under your new co leadership, would be curious to hear how your strategy has potentially evolved specifically for IFS?

I mean, I think, and we've talked about this over the last couple of quarters. I mean, for 1, we are not looking to bend ahead of success. And so, you saw our CapEx guide come down from the 20% to 23% range down to 20%. That's in support of that strategy. We want to absolutely wow the customers, but to do that, we've got to be very careful around what we're promising them as well.

So I think what you'll see a lot of is a little bit more conservatism around how we deploy capital, how we engage with customers. We want to be doing more than what we promised to every turn to every stakeholder including investors, including customers, including suppliers, so what have you. That's pretty much the strategy. The main goal of building a world class foundry, that's still in place. We feel that there absolutely is a need for another player in the leading edge semiconductor manufacturing space, in particular in the U.

Intel (INTC) Q4 2024 Earnings Call Transcript

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