This is very true. They got this profitable though by gutting every long term investment in new forays: they sold off their ARM business, their modem business, they never bothered to make a serious GPU or mobile chip, etc.
The margins on those big Xeon chips have been so good that they ditched everything else, and painted themselves into a corner, sitting by the sidelines for the past 20 years as new markets emerged.
The margins on those big Xeon chips have been so good that they ditched everything else, and painted themselves into a corner, sitting by the sidelines for the past 20 years as new markets emerged.