Intel is ending its Data Center Solutions Group (DSG). Under CEO Pat Gelsinger, the company has restructured and pulled out of many markets, including Optane drives and motherboards. However, the discontinuation of the DSG will not affect the production of Xeon chips for servers.
Intel, like many other companies, is facing declining demand for PCs and PC components. To reduce spending by $10 billion a year from 2025, Gelsinger previously announced that the company needs to “cut strategically,” leading to thousands of layoffs.
MiTAC, a Taiwanese electronics company, is a small player in the server system production market. Its annual turnover in this industry was 75 million dollars in 2021, compared to the 12 billion brought in by giant Foxconn. Intel has confirmed to ServeTheHome the previous rumors about the possible discontinuation of the Data Center Solutions Group.
