Intel shares fall as weak outlook overshadows CEO’s turnaround promises
Once a dominant force in the chip industry, Intel is struggling to catch up with rivals after years of missteps, battling to gain ground in AI while its largest market, China, remains locked in a trade war with the U.S. "Intel's soft guidance reflects a world where industrial policy is replacing free trade; U.S. export restrictions and China's parallel silicon ambitions are squeezing Intel from both sides—on pricing, supply chain fluidity, and global total addressable market," said Michael Ashley Schulman, chief investment officer at Running Point Capital. Despite chips being exempted from U.S. President Donald Trump's tariffs for now, a major hit to Intel could come from China's retaliatory tariffs on U.S. imports, with chips manufactured in the U.S. set to face levies of 85% or higher, based on the state-backed China Semiconductor Industry Association's (CSIA) notice earlier in April.