Intel CEO Pat Gelsinger announced a significant restructuring plan aimed at reviving the company after a disappointing financial performance, including a $1.6 billion net loss in the second quarter. A key part of this plan is the formation of Intel Foundry as an independent subsidiary, allowing it to attract customers like Amazon Web Services (AWS), with whom Intel has entered a multi-billion-dollar co-investment to design custom AI chips. This collaboration marks a positive shift for Intel, enhancing its foundry capabilities and enabling it to better compete in the global chip market. Additionally, the company plans to halt its German construction project for two years and sell a stake in its programmable chip business, Altera. The announcement led to a notable rise in Intel's stock price, reflecting investor optimism about the company's future. Gelsinger emphasized that these changes are crucial for transforming Intel into a more competitive entity in the tech industry.