Intel to IPO Programmable Chip Unit, Stock Rises

Intel plans to treat its programmable chip unit as a standalone business and aims to spin it out through an IPO within the next two to three years. The move follows Intel's strategy to control costs and focus on the foundry business and core processors. The strong demand for field programmable gate arrays (FPGAs) in the semiconductor industry is highlighted, with rival AMD having acquired FPGA maker Xilinx for $35 billion in 2022. FPGAs are simpler but more flexible and power-efficient than traditional processors, and Intel's FPGAs have been performing well, offsetting a slump in server chip sales.