Intel Might Be Moving On From Its Gaming GPU Ambitions -- That Wouldn't Be a Bad Thing

Rumor has it that $Intel(INTC.US)$ Arc lineup of video gaming GPUs (graphics processing units) is already being nixed -- just a handful of years after originally being announced and long before any of these dedicated graphics cards ever really took root in the market. The rumor was recently circulated by YouTube poster Moore's Law Is Dead. For sure, it's just a rumor, and Intel has subsequently defended its Arc gaming lineup as safe. Time will tell what happens next.

Before I go into what I think all this means for the company (and the stock), I first want it known that I'm certainly not rooting against Intel. On the contrary; Intel is responsible for advancing much of the computing technology we take for granted every day, and I believe the world really needs this company to succeed.

However, the fact is that times have changed, and the competitive landscape is very different than it was a decade ago. Intel axing its Arc GPUs might not be happy news for gaming enthusiasts, but it could actually be a really good thing for Intel's long-term health -- as well as the health of the tech industry at large. Let me explain.