Read Asa Fitch take a look at how Intel Corporation has ended up outsourcing its chip-making business on Wall Street Journal:
The Silicon Valley pioneer long held it had to build its flagship chips in its own factories; then it hit the wall and is considering outsourcing—a milestone in the story of America’s losing its manufacturing primacy. Intel Corp., more than any other company, represents the historical silicon in “Silicon Valley.” It has held its reign not only by designing compelling new circuitry but also by etching it into silicon at its own factories. It was orthodoxy inside Intel. To thrive, it had to remain the maker of its flagship chips that are the brains of computers—long after many rivals had outsourced manufacturing and stuck to design.
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