Intel Knew about Processor Issues since 2022 and Knowingly Kept Customers in the Dark

• Gamers Nexus has revealed that Intel has known about the oxidation and voltage issues for at least a year or two and still kept quiet.
• Intel's poor response and lack of accountability have further soured its public image.
• The company's stocks have also taken an unprecedented hit, with Intel losing close to $30 billion in market capitalization.

Intel has seemingly landed itself into a massive scandal. Just around a week ago, I talked about the oxidation and voltage issues that have been causing instability in Intel's 13th and 14th generation processors. The company then addressed the issue and promised to release a patch by mid-August.

However, popular YouTube channel Gamers Nexus, which focuses on latest tech news and reviews, revealed some shocking details about the incident.

Apparently, Intel was well aware of the issues as early as 2022 and did nothing about it. Not only that, but now that the matter is public, Intel's response to customers in distress has been appalling.Inconsistent Communication

The biggest problem with Intel is inconsistent communication. For instance, the first public statement it made about the instability issues only talked about the voltage issues.

It was only a week later-after Gamers Nexus called it out in another video-that Intel added details about the oxidation issue. By then, though, most media outlets had already run the story with the voltage issue, so the oxidation issue didn't get much attention.

Why did Intel do this? We could only guess. It could be mismanagement, lack of proper communication planning, or simply a smart move to take away attention from one of the two issues.

Lopsided Stats

Intel has also been inconsistent with the information it shares. The number of processors that were expected to have been affected by these issues increased from just 32% in February to almost 70% in May, as per Intel's reports.

It's not like the company wasn't aware of how many devices are at risk because, as I mentioned earlier, Intel knew about the issues since 2022, according to Gamer Nexus.

It started with users posting their issues (at the time no one knew it was an oxidation or voltage-related problem) on public forums. One of the first posts was published in November 2022, followed by some more in December and early 2023.

In fact, in April 2023, a user made a massive troubleshooting post detailing the steps to isolate the CPU fault. So, it's quite bizarre for me to believe that none of this was brought to Intel's attention.

Therefore, it's very possible that Intel knew about the manufacturing defect in its processors and still decided to sell it to unknowing customers.

Intel's Response after the Public Announcement

Finally, in July 2024 i.e. just last month, Intel made a public announcement acknowledging all the defects and promising to help affected customers.

On the surface, it looked like the company was finally taking some accountability. However, when I dove deeper, that picture came crumbling down.

For starters, customers still have no easy way to request an RMA (return merchandise authorization). Even after some of them complained that their legitimate return requests had been denied, Intel responded that its return policies are still in place and customers are encouraged to reach out to the support team.

Essentially, this means that Intel expects customers to keep requesting returns again and again until it's finally accepted.

The company has also been quite vague about its plans to extend the warranty on some CPUs. Do note that not all of them come with a 3-year warranty; some have a 1-year warranty, and in that case, their coverage is either already over or very close to expiration.

Last but not least, Gamers Nexus revealed that an inside source told them that Intel's customer service has been very aggressive in their approach-to the extent that might make customers feel uncomfortable reaching out to them again and again.

What choice do customers have then? Everything Intel says is either vague or unreliable. For example, when asked whether the patch update will hinder performance, it gave no definite answer.

Intel is also trying to cover up its failures by silencing critics. For example, Intel subreddit moderators deleted a comment from a game developer who is seeking hundreds of thousands of dollars in damages over Intel's mistake.

The company also blocked a Twitter account for reporting on its failures. Blocking the account meant its replies and comments on Intel's posts would be hidden. However, after getting publicly called out for its subpar tactics, the company unblocked the account.

Massive Layoffs Announced

Intel is undoubtedly in a crunch right now, but whether it warranted a layoff is hard to find out. Regardless, the company announced a $10 billion cost reduction plan, under which 15% of its workforce will be laid off.

Not just that, but the company has also pulled back a few employee benefits, such as air shuttle, fitness coaching, cell phone reimbursement, and on-campus snacks and beverages.

At a time like this, a company should focus on boosting employee morale, but Intel, via its extreme cost-cutting measures, has decided to do the exact opposite.

Lastly, and quite unsurprisingly, as a result of one disaster after another, Intel's stocks have also taken a massive hit. It hasn't been this bad for the company in the last 50 years.

Over just the last 2-3 days, Intel lost close to $30 billion in market capitalization, and there seems to be no sign of improvement in its stock price at the time of writing. Plus, the fact that it recently announced that it won't be paying dividends to investors anytime soon seems to have driven away many.

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