Intel remains one of the most established names in enterprise technology, but its position has come under sustained pressure as rivals gained momentum across key chip markets. Nvidia has tightened its grip on the market for graphics processing units, while Qualcomm expanded into laptops, AMD strengthened its data center standing, and Samsung stayed competitive in chipmaking. Intel has spent years trying to reverse a narrative of decline through manufacturing expansion, support for fabless customers, and internal restructuring.
That pressure became more visible between 2021 and 2025, when the company’s stock suffered a nearly four-times drop. Several strategic mistakes are presented as part of the backdrop, including a decision in the early 2000s not to make iPhone processors for Apple and a mid-2010s choice to delay the use of extreme ultraviolet lithography equipment in favor of multi-patterning. A $20 billion plan in 2021 to build out a foundry business did not deliver an immediate recovery. After Pat Gelsinger’s departure and Lip-Bu Tan’s appointment in March 2025, Intel made key executive hires in June last year, before axing 24,000 roles and cancelling factory plans the following month.
Intel is now positioning GPUs as a more direct route into the Artificial Intelligence infrastructure boom. Demand for enterprise-grade GPUs remains intense because these chips are central to training and inference workloads, and Forrester analyst Alvin Nguyen argues the market is still capacity constrained rather than overcrowded. He says Nvidia cannot meet all of the demand on its own, which leaves space for another supplier while the Artificial Intelligence buildout continues. Intel has also been improving its consumer graphics products, with Xe integrated graphics leading to Arc GPUs such as Alchemist and Battlemage in business notebooks.
The company’s next graphics push is expected in the coming year or two under the Celestial banner, with Xe-3 integrated graphics aimed at entry-level systems. That creates an opening in both enterprise and consumer segments, especially as Nvidia scales back some consumer-oriented GPU activity. Nguyen says Intel has become leaner, more customer focused, and more responsive in addressing issues, while improved laptop CPUs and partnerships with the US Government and Nvidia have helped change market perception. Under Tan’s leadership, the firm’s share price has surged from under $19 per share to highs of over $45. Early momentum suggests Intel has a credible opportunity, but the outcome depends on whether it can execute consistently and convert demand into durable gains.
