Former Intel CEO's strategy is once again brought up: during an economic recession, "increase R&D" rather than shrink it

BlockBeats News, May 12 — Technology industry analyst Tim Bajarin wrote an article reviewing Intel’s response strategies during past economic crises, saying that the company’s continued expansion of R&D spending during downturns was an important reason for its later return to growth.

The article notes that during the 2008 global financial crisis, then-Intel CEO Paul Otellini did not cut the R&D budget because of the recession. Instead, he chose to “double down” on developing next-generation product research and development. He believes that no matter how severe the crisis is, the economy will eventually recover, and Intel must prepare in advance with products adapted to the next round of growth cycle.

Then, from 2010 to 2012, as the smartphone, social media, and gaming industries took off, market demand for high-performance chips grew rapidly, and Intel successfully benefited from this wave of technological expansion.

The article also points out that although the world currently faces pressures such as rising energy prices, heightened geopolitical tensions, and higher cost of living, since ChatGPT sparked the AI boom in 2023, artificial intelligence has become an important engine driving a new round of technology investment.

The author believes that historical experience shows that the companies that truly manage to get through economic cycles are often not the ones that cut costs the most during recessions, but those that continue investing in the future even in times of uncertainty.