Although there may be $Qualcomm (QCOM.US)$ and $Advanced Micro Devices (AMD.US)$ competitors in the chip industry extending an olive branch, $Intel (INTC.US)$ they are still trying to 'rescue themselves'. Recent news shows that selling part of the shares of subsidiary Altera is part of Intel's considerations for actions.

On Friday, October 18th, CNBC reported that Intel is seeking to sell at least a minority stake in its subsidiary Altera to raise billions of dollars. This week, Intel has proposed Altera stock trades to several private equity and strategic investors and has indicated to some investors that they may be allowed to acquire a majority stake in the business.

Informants also stated that the value of the trade Intel is seeking is around $17 billion. If the news is true, this wave of trades by Intel can be said to be a profitable move. Public records show that Intel acquired Altera, a programmable logic device (PLD) manufacturer, for $16.7 billion in 2015, which falls under Intel's Programmable Solutions Group. In February this year, Intel announced that Altera would become an independent subsidiary.

If the news is true that Intel may sell a majority of Altera's shares, it could be considered as shortsighted and a blow to Intel's senior management. Just last month, Intel's CEO Pat Gelsinger stated that the Intel leadership believed Altera to be a core part of Intel's future.

Media reported in September this year that Gelsinger and other Intel executives planned to present a proposal to the board of directors in the middle of the month to potentially sell some businesses, including the programmable chip business Altera, in order to reduce costs. Following this, Altera's CEO Sandra denied Intel's intention to sell the company directly. She mentioned that the plan was not to sell Altera, but to sell a portion of the shares, a plan that has been communicated for a year. She said, "What we are going to do is an IPO in 2026."

Previously, Intel had mentioned the possibility of seeking commercialization for Altera's business through an IPO, aiming for a listing by 2026 at the earliest. According to the CNBC news this Friday, allowing Altera to receive strategic or PE investments would significantly accelerate the commercialization process.

Regardless, the news of the high-priced sale of Altera shares is Intel's latest active move in its recent efforts to turn things around.

At the end of August, The Wall Street Journal reported that media outlets mentioned Intel is discussing various options, including splitting its product design and manufacturing business, and cutting factory investment projects. Morgan Stanley and Goldman Sachs, as long-term partners of Intel, are providing comprehensive strategic advice, including potential acquisitions.

In September, intel's board of directors held a three-day meeting, considering various global strategy options, including reducing billions of dollars in factory projects, selling part of its subsidiaries, including previously acquired Mobileye and Altera, and even potentially spinning off its core business into independent companies.

The plan unveiled by CEO Krzanich includes restructuring Intel's semiconductor foundry business IFS into an independent subsidiary, considering giving it independent external financing; postponing the construction plans in Magdeburg and Poland by about two years, completing the plan in Malaysia, and the expansion in the United States is unaffected; streamlining and simplifying the x86 product portfolio; by the end of this year, aiming to reduce or exit two-thirds of the global offices; and selling off partial stakes in Altera.

After CNBC's news on Friday, intel's stock price maintained its rebound from Thursday, hitting a new daily high during the day with a 1.7% intraday increase, ultimately closing up nearly 1.5%. However, due to the chip stocks plummeting overall after ASML's financial report bombshell on Tuesday, intel fell more than 3% for the whole week.

编辑/Somer