{"text":[[{"start":12.16,"text":"Wall Street has soured on Intel in recent years, turning its attention to flashy new semiconductor upstarts instead. "},{"start":19.102,"text":"Now that Intel is the beneficiary of goodwill in Washington and a cold war in Asia, investors are scurrying back. "},{"start":25.657,"text":"On Tuesday, the US microprocessor legend announced an ambitious plan to expand its global chips business. "},{"start":32.149,"text":"Intel will spend $20bn to build two additional fabrication plants in Arizona. "},{"start":37.342,"text":"It also plans to build a “foundry” unit that will manufacture chips for third party, “fabless” designers. "}],[{"start":43.41,"text":"Intel’s waning manufacturing prowess has led at least one investor to suggest it get out of making its own chips. "},{"start":49.727,"text":"Recently appointed chief executive Pat Gelsinger is making the opposite bet. "},{"start":54.056999999999995,"text":"It is made easier by the US president’s tacit backing. "},{"start":57.373999999999995,"text":"Semiconductors have become a proxy battle between the US and China. "},{"start":61.254,"text":"Joe Biden has made domestic capabilities a key priority. "}],[{"start":65.06,"text":"According to data shared by Intel, nearly half of global chip sales occur in the US, though American production is only about a tenth of the total. "},{"start":73.352,"text":"That proportion has dropped with the rise of Taiwan Semiconductor Manufacturing Company and other manufacturers in Asia. "},{"start":79.607,"text":"Tension with China means Washington is willing to spend taxpayer money to ensure vital supply chains remain in the US. "}],[{"start":86.8,"text":"Gelsinger claims Intel’s ability to keep up with cutting-edge chip manufacturing is improving. "},{"start":92.104,"text":"The company also said that its 2021 revenue and profits will exceed previous forecasts based on strong laptop PC demand. "},{"start":99.447,"text":"This is a nice boost along with the long-term strategy shift. "},{"start":102.92699999999999,"text":"Intel shares are up 27 per cent this year while the S&P 500 is up just 4 per cent. "},{"start":108.56899999999999,"text":"The $15bn forecast for annual free cash flow makes the $20bn capital commitment seem reasonable. "}],[{"start":115.84,"text":"Despite its status as tech pioneer, Intel has taken a back seat to a resurgent Microsoft and other Silicon Valley upstarts. "},{"start":123.319,"text":"Now it is going supersize. "},{"start":125.212,"text":"Google was one of several tech luminaries to offer a statement of support for Intel’s strategy shift. "},{"start":130.492,"text":"After Washington, that may be the most important endorsement of all. "}],[{"start":134.9,"text":"Our popular newsletter for premium subscribers Best of Lex is published twice weekly. "},{"start":139.87900000000002,"text":"Please sign up here. "}],[{"start":141.24,"text":""}]],"url":"https://creatives.ftacademy.cn/album/001091927-1616668959.mp3"}