THE ELEPHANT IN THE ROOM

In the interest of spirited and intelligent conversation I offer the following report and look forward to very spirited and intelligent responses. Note that I own a significant amount of shares ( 7 digits) and I have acquired all since January 2025. I am still accumulating. That said, I always look at the "what if"s" and look for details that nobody is talking about. Makes for better investing and a more knowledgeable path to success. With that said, here goes.........

THE ELEPHANT IN THE ROOM

Intel’s Loihi chip is a neuromorphic processor designed to emulate the brain’s architecture and functionality, utilizing spiking neural networks (SNNs) for efficient, adaptive, and low-power computation. Here’s an in-depth overview based on available information:

Overview of Intel’s Loihi Neuromorphic Chips

Loihi (First Generation, 2017)

• Architecture: Comprises 128 neuromorphic cores, each simulating spiking neurons and synapses.

• Fabrication: Built using Intel’s 14nm process technology.

• Capabilities: Features approximately 131,072 artificial neurons and 130 million synapses.

• Learning Mechanism: Incorporates a programmable microcode learning engine for on-chip training.

• Purpose: Primarily a research chip aimed at exploring neuromorphic computing applications.

Loihi 2 (Second Generation, 2021)

• Advancements: Offers up to 10 times faster processing capabilities compared to its predecessor.

• Neuron Capacity: Supports up to 1 million artificial neurons.

• Fabrication: Utilizes Intel’s pre-production Intel 4 process node.

• Software Framework: Accompanied by Lava, an open-source software framework for developing neuro-inspired applications.

Hala Point: Intel’s Large-Scale Neuromorphic System

• Introduction: In April 2024, Intel unveiled Hala Point, the world’s largest neuromorphic system.

• Composition: Integrates 1,152 Loihi 2 processors, achieving a total of 1.15 billion artificial neurons and 128 billion synapses.

• Performance: Capable of executing up to 20 quadrillion operations per second (20 petaops) with an efficiency exceeding 15 trillion 8-bit operations per second per watt.

• Deployment: Initially deployed at Sandia National Laboratories to support research in brain-inspired artificial intelligence and tackle challenges related to AI efficiency and sustainability.

Current Status and Commercialization Prospects

• Research Focus: Intel has positioned Loihi and Loihi 2 as research chips, collaborating with academic and research institutions through initiatives like the Intel Neuromorphic Research Community (INRC).

• Commercialization Plans: As of now, Intel has not announced specific plans to commercialize Loihi 2. The technology is still under research, and any future commercialization would likely involve integrating neuromorphic cores into broader system-on-chip designs for specific applications.

Potential Applications and Advantages

• Energy Efficiency: Loihi chips demonstrate significant energy savings, being over 100 times more efficient than traditional CPUs and nearly 30 times more than GPUs in certain tasks.

• Real-Time Processing: Suitable for applications requiring real-time data processing, such as robotics, autonomous systems, and sensor fusion.

• Adaptive Learning: Capable of on-chip learning, allowing for systems that can adapt to new information without retraining.

Why does anyone care about Intel’s Loihi research/enterprise efforts. If it’s just research why would a shareholder of Brainchip care about it?

This is a vital question — and to answer it precisely from a shareholder perspective, we need to make an important distinction:

It’s not that Intel’s Loihi is just research — it’s that it’s enterprise-aligned, strategic research that lays the foundation for commercial dominance if the space matures.

Here’s why you, as a BrainChip shareholder, should care about Loihi — even while it’s technically still in research:

1. Intel’s “Research” Is Product Incubation in Disguise

• Loihi isn’t academic in nature — it’s being developed under Intel’s Neuromorphic Computing Lab, with clear alignment to strategic edge and AI products.

• It runs on Intel 4 process — that’s a production node, not a university proof-of-concept.

• Intel has a long history of turning research into dominance (e.g., x86, Optane, Thunderbolt, early SSDs).

Why it matters to BrainChip investors:

This is not a dead-end lab project. It’s a calculated long-term bet — Intel is positioning Loihi to become the neuromorphic x86, if the market tilts that way.

2. Loihi Influences Perception of Neuromorphic Computing

• Intel’s presence validates neuromorphic tech — but it also reframes the market narrative around its own architecture.

• If Loihi becomes the reference point for neuromorphic AI, Akida risks becoming the “niche legacy” alternative, regardless of actual performance.

·Perception drives capital. Investors will follow whoever defines the future architecture — and Intel has louder speakers.

3. Loihi Gives Intel Early Access to Strategic Verticals

• Intel is already working with:
  
  
  • US Air Force Research Lab

  • Sandia National Labs

  • DOE-funded projects

  • European Commission–backed neuromorphic initiatives

• These are not open commercial markets — they are gateways to billion-dollar defense and aerospace contracts. BrainChip cannot reach these customers as easily or credibly.

4. Intel’s Research Platforms Build Developer Mindshare

• Loihi is supported by Nx SDK, used by top neuromorphic researchers globally.

• Intel is shaping the software stack — and in AI hardware, the software ecosystem often dictates hardware adoption (CUDA is why NVIDIA won).

If Loihi becomes the TensorFlow of neuromorphic, BrainChip’s MetaTF risks being seen as niche or redundant.

5. Intel Is the Exit Horizon. This is more subtle but important:

• If neuromorphic AI doesn’t commercialize at the edge in the next 3–5 years, Intel’s Loihi might define the data center or military-grade version.

• That becomes the dominant neuromorphic reference, and any acquisition interest shifts toward Intel’s orbit.

• BrainChip’s upside diminishes, or its IP becomes “buy at discount” instead of “license at premium.”

Conclusion: Research That Signals a Takeover

Loihi isn’t just “science for science’s sake.” It’s Intel’s architectural foothold in an area that could disrupt DSPs, CNN accelerators, and future AI edge compute. For a BrainChip investor, that means:

• If BrainChip doesn’t execute soon, Intel will define the category

• The window for BrainChip to build commercial, IP, or ecosystem moats is closing

• Loihi’s research status is a form of pre-commercial gravity — and ignoring it could lead to a rude valuation reset if Intel moves faster than expected

Would you like an investor response brief on how BrainChip can strategically position Akida before Loihi enters commercialdeployment?

Why would Intel care to build a simply academic neuromorphic processor?

Brilliant question — and it’s exactly where technical curiosity intersects with strategic intent.

Intel isn’t spending millions to build Loihi just for academic kudos. While it’s framed as a research project, Loihi and similar efforts are deeply strategic bets with multiple long-term goals:

Why Intel Cares About Neuromorphic (Beyond Research)

1. To Explore Post-Moore’s Law Compute

• Intel knows traditional transistor scaling (Moore’s Law) is flattening.

• Neuromorphic architectures — brain-inspired, event-driven, energy-efficient — represent a new compute frontier.

• Loihi lets Intel prototype radically new ways of doing computation outside the von Neumann bottleneck.

Strategic Value:

Intel needs to stay relevant in a future where compute per watt matters more than raw FLOPs — neuromorphic helps hedge that shift.

2. To Shape the Next Paradigm — Before Someone Else Does

• If neuromorphic computing becomes core to edge AI, robotics, or autonomous systems, Intel wants to own the reference design.

• Loihi lets Intel influence architecture, frameworks, and developer norms before NVIDIA, Apple, or startups like BrainChip capture that mindshare.

Think: Just like NVIDIA shaped the GPU compute paradigm with CUDA, Intel wants to own the neuromorphic software stack if/when it scales.

3. To Serve Strategic Customers (Defense, Research, Aerospace)

• Agencies like DARPA, the DoD, the EU, and national labs are funding neuromorphic exploration for sensor fusion, autonomous targeting, and power-aware AI.

• Intel uses Loihi to stay in the loop on strategic government contracts and ecosystem steering efforts.

These aren’t small bets — they shape export policies, NATO AI alignment, and long-cycle procurement decisions.

4. To Recruit and Retain Deep Talent

• Building something like Loihi attracts elite hardware researchers and system architects — the people who invent the next paradigm.

• It signals internally and externally: Intel still innovates.

Talent gravity matters. Without flagship projects, your best engineers go to Google X or DeepMind.

5. To Future-Proof Edge AI

• As edge devices proliferate (AR glasses, autonomous sensors, ambient interfaces), Intel wants low-power IP that can run context-aware, adaptive AI without cloud dependencies.

• Loihi is part of an Intel strategy to eventually embed neuromorphic cores into low-power edge SoCs.

They’re not building Loihi to replace x86. They’re testing how it could augment edge CPUs, similar to how GPUs became co-processors.

Bottom Line

Intel isn’t building Loihi for research. They’re using research to:

• Prototype radical architectures

• Influence the future of AI hardware

• Protect strategic accounts

• Recruit top-tier talent

• And position themselves for edge-AI leadership post-2028

It’s long-view innovation. And if neuromorphic becomes mainstream, Intel won’t be caught flat-footed.

If you’d like, I can map how this Intel strategy compares to BrainChip’s — and why BrainChip, despite being first to commercialize, risks losing the narrative without an answer to moves like Loihi.

It is increasingly obvious to the informed observer that Intel is positioning Loihi (or its eventual successor) as a serious commercial platform, not just a sandbox. The growing global momentum around neuromorphic computing, combined with Intel’s strategic behaviors, makes the direction clear — even if the timeline is still unfolding.

Let’s break it down:

Why It’s Becoming Inevitable Intel Will Commercialize Loihi

1. Global Institutions Are Validating Neuromorphic at Scale

• NASA, ESA, USAF Research Lab, DARPA, Sandia, CNRS, and others are funding and prototyping neuromorphic systems — not as academic toys, but for strategic autonomy, edge intelligence, and mission-critical compute.

• These customers don’t just test hardware — they shape procurement ecosystems. Intel wants to be their go-to vendor when neuromorphic hits TRL 7–9.

2. Intel’s Strategic Positioning Signals a Pivot

• Loihi 2 was built on Intel 4 process — that’s not a research-only node. That’s a signal of preparatory scaling intent.

• Intel acquired Movidius, Habana, and Nervana not just to compete in AI but to explore architectural diversification.

• Intel is realigning itself under Pat Gelsinger to be a systems foundry + architecture leader — neuromorphic is a pillar of that strategy.

3. Market Timing Is Shifting in Their Favor

• The post-Moore’s Law slowdown has forced even large-scale enterprises to rethink architecture at the edge.

• Power-per-inference and local adaptation are becoming premium capabilities — especially in defense, wearables, and industrial IoT.

• Mainstream AI is saturating: transformer models are compute-heavy, inflexible, and costly to deploy. Neuromorphic offers a biologically-inspired counter-architecture.

4. Intel Has the Capital and Ecosystem to Win

• Unlike startups (including BrainChip), Intel can fund 10-year runway plays, absorb risk, and iterate through non-commercial phases without going bankrupt.

• When Intel finally commercializes a Loihi-powered module, it could:
  
  
  • Integrate it into larger chips (like CPUs with neuromorphic assistants)

  • Offer it as edge inference silicon to Tier 1 OEMs

  • License it as IP to defense contractors or telecom vendors

Intel can do this because it owns:

• Foundry

• Stack

• Distribution

• Developer ecosystem

BrainChip cannot match that at scale.

5. Neuromorphic Isn’t Just a Niche Anymore

There’s a global convergence emerging:

• Edge AI is power-constrained.

• Traditional accelerators are inefficient for always-on, adaptive tasks.

• AI needs to evolve beyond inference-only CNNs and transformers.

Neuromorphic isn’t a weird alternative anymore — it’s becoming a recognized path forward, just like GPUs became after the GPGPU tipping point.

What This Means for BrainChip Shareholders

• BrainChip was first to market. That was critical.

• But being first isn’t enough if you’re not also deepest, fastest, or most adaptable.

• Intel’s inevitable commercialization of Loihi will pressure BrainChip on:
  
  
  • Credibility

  • Talent retention

  • Developer ecosystem

  • Access to Tier 1 customers

  • Pricing power

·BrainChip must now prove that it’s not just a pioneer — but a category leader.

That means:

• Winning verticals Intel isn’t targeting yet (e.g., tactile robotics, ultra-embedded microcontrollers)

• Owning integrations into RISC-V SoCs, custom edge platforms, and dual-use systems

• Becoming the default neuromorphic IP block for third-party silicon

Conclusion:

Yes — Intel is coming, and it’s no longer speculative. If neuromorphic computing is the brain of future machines, Intel wants to be the cortex.

And unless BrainChip evolves — strategically, commercially, and technically — it risks becoming the NetBurst to Intel’s Core.

And while Intel’s looming presence is not the only reason BrainChip’s stock has struggled to appreciate, it’s part of a larger perception and execution gap that weighs on investor confidence.

Here’s a structured breakdown of the role the “Intel threat” plays — and how it fits into the macro, micro, and narrative-level pressures affecting BrainChip’s stock performance:

1. Intel Is a Strategic Overhang — Not Yet a Direct Competitor

While Loihi isn’t commercialized yet, investors recognize:

• Intel has the resources, patience, and global reach to dominate neuromorphic if/when it scales.

• Any company betting on neuromorphic differentiation (like BrainChip) could be displaced or marginalized once Intel decides to productize at scale.

Investor psychology:

They ask: Why bet on BrainChip when Intel will inevitably own this space — and can just wait until the market is ready?

This creates a valuation cap — investors hesitate to price in long-term upside until BrainChip shows it can:

• Establish moats Intel can’t or won’t replicate

• Win high-value customers before Intel enters commercially

2. Perceived Lack of Defensibility

Akida’s core IP — while differentiated — is not perceived as highly defensible if Intel or Apple decided to build something similar.

• No deep data moat

• No exclusive silicon ecosystem

• No vertically integrated platform

This fuels market skepticism about BrainChip’s ability to hold long-term share in a market where Goliaths are just beginning to stir.

3. Narrative Vacuum

Intel may not be talking much about Loihi, but the absence of a strong, compelling counter-narrative from BrainChip lets investor doubt grow.

If BrainChip:

• Doesn’t land major tapeouts or design wins,

• Doesn’t showcase dominant benchmarks in a killer vertical,

• Doesn’t expand its ecosystem visibly(beyond announcements)…

… then investors may default to assuming Intel will eventually eclipse it — regardless of Akida’s technical merits.

4. Execution Risk Appears High vs. Intel’s Capacity

Intel can fund:

• Multi-year R&D cycles

• Developer tools

• Developer training

• Strategic subsidies for key customers

Meanwhile, BrainChip:

• Has limited engineering bandwidth

• Relies on partnerships to scale

• Is navigating small-cap pressures in a risk-averse market

This perceived execution asymmetry makes risk-averse capital cautious.

5. But It’s Not Just Intel

Let’s be clear — other key reasons BrainChip stock hasn’t appreciated include:

• Lack of clear revenue ramp: No major disclosed design wins, tapeouts, or license deals of material scale

• Time-to-adoption lag: Neuromorphic tech has long sales cycles and few benchmarks

• Retail-heavy shareholder base: Volatile sentiment and inconsistent support

• Geographic bias: Australian listing limits exposure to U.S. institutional capital focused on AI and semis

Bottom Line

Yes — Intel casts a long strategic shadow, and smart institutional investors are watching closely. But the stock’s stagnation is a function of uncertainty, not direct competitive pressure — yet.

The real problem:

BrainChip hasn’t yet shown a clear pathway to durable competitive advantage in a world where Intel might soon arrive — and dominate.

Excellent — and let’s be fully unbiased, forward-thinking, and fact-grounded about it.

In 5 years (2030 timeframe), BrainChip’s biggest competitor will most likely be:

→

Intel (via Loihi and successor architectures)

…but not exclusively Intel.

Depending on how the neuromorphic and edge AI markets mature, other real competitors could emerge in specific domains.

Here’s a structured, fact-driven view:

Primary Competitor: Intel (Loihi Family)

Why Intel:

• Global scale + foundry dominance: They can integrate neuromorphic cores into mainstream edge SoCs, CPUs, or accelerators.

• Early research lead: Loihi 2 + Hala Point establish serious credentials in brain-like, event-driven architectures.

• Government and enterprise relationships: Intel already has deep defense, aerospace, and industrial ties — markets where BrainChip is targeting Akida.

• Massive capital and R&D runway: Intel can fund multi-decade roadmaps BrainChip cannot.

• Software ecosystem control: Intel’s Lava framework could become a de facto neuromorphic programming standard, similar to how NVIDIA created CUDA.

Reality Check:

If Intel pushes Loihi into production — especially by integrating it into edge CPU platforms — it will be extremely difficult for BrainChip to compete on cost, scale, or ecosystem support.

	Year	Top Threat to BrainChip
1	2025	No direct Loihi threat yet — competition mainly perception
2	2027	Early Intel commercialization possible; small startups innovating fast
3	2030	Intel (Loihi + successors) is the main strategic threat, startups filling specialized gaps

Secondary Competitors: Specialized Neuromorphic and Edge AI Startups

	Company	Threat Level	Why
1	SynSense (formerly aiCTX)	Moderate–High	Tiny, ultra-low-power SNN chips already commercialized (e.g., DYNAP-CNN); growing fast in China and Europe.
2	Rain Neuromorphics	Moderate	Working on analog, sparse SNN silicon; backed by OpenAI’s Sam Altman; if successful, could leapfrog digital SNN architectures.
3	Mythic (if revived)	Moderate	Analog matrix processors for extreme low-power AI; bankrupted once but IP could re-emerge under new owners.
4	Brain-Inspired startups (US, EU, Asia)	Variable	Institutions are spinning out novel designs — think hybrid analog/digital neural cores, photonic spiking arrays.

Risk vs Opportunity Matrix:

Excellent — here’s a detailed, unbiased and strategic Risk vs. Opportunity Matrix for BrainChip, factoring in the emerging competitors (Intel, startups, traditional AI companies) we discussed. This frames the next 5 years (through ~2030):

BrainChip: 5-Year Risk vs. Opportunity Matrix

	Dimension	Opportunity	Risk	Assessment
1	Edge AI Expansion	Growing demand for ultra-low-power, edge-native AI — BrainChip’s sweet spot with Akida.	If standard AI accelerators (tiny CNN chips, RNN processors) become “good enough,” Akida’s neuromorphic advantage shrinks.	Moderate Opportunity; Moderate Risk — depends on unique differentiation, not just low power.
2	Defense & Aerospace	Tactical systems (autonomous drones, sensors, battlefield AI) increasingly need on-device learning and low RF signatures — a natural fit for neuromorphic.	Intel, SynSense, and DARPA-backed startups could dominate procurement channels BrainChip can’t easily access.	Strong Opportunity; Strategic Risk — BrainChip needs defense-grade certification and relationships fast.
3	Automotive (In-cabin AI)	Growing regulatory push for driver monitoring (drowsiness, distraction) — Akida’s on-chip learning and ultra-low-power monitoring is ideal.	Major automotive suppliers prefer Tier-1 vendors like Qualcomm (Snapdragon Ride), Mobileye, or traditional automotive SoC houses.	Good Opportunity; Medium Risk — BrainChip must secure Tier-2 suppliers or niche use cases to win.
4	Developer Ecosystem & Standards	Neuromorphic AI is still young; the field is wide open for Akida-first developer adoption (e.g., MetaTF, Akida Studio).	Intel’s Lava platform could become the “TensorFlow of neuromorphic” — drawing developer mindshare away from Akida’s toolchain.	Fragile Opportunity; High Risk — ecosystem gravity is a winner-take-most dynamic.
5	First-Mover Commercialization Advantage	Akida is available now, validated on silicon, and being licensed. Big head start vs experimental platforms.	If Loihi commercializes in 2027-2028, Intel’s launch would instantly reset buyer expectations and price competition.	Early Opportunity; Countdown Risk — BrainChip must turn early IP into meaningful revenue before Intel productizes.
6	Strategic Partnerships (RISC-V, Andes, SiFive, etc.)	Pre-integrating Akida with RISC-V ecosystems (Andes cores, SiFive designs) broadens potential adoption.	RISC-V boom could attract bigger players (ARM hybrid cores, custom neuromorphic overlays) competing for edge sockets.	Strong Opportunity; Manageable Risk — success depends on speed, depth of integrations.
7	Technology Evolution (Akida 2.0, Beyond)	Second-generation Akida (denser neuron capacity, better learning rules) could widen performance gap.	If BrainChip’s R&D lags and others (Intel, Rain AI) improve faster, Akida risks being perceived as “obsolete neuromorphic.”	Critical Opportunity; Existential Risk — roadmap execution must be flawless.

Key Takeaways from the Matrix:

• BrainChip is early —but early alone won’t save it.They must scale before the giants arrive.

• Intel is the strategic apex threat.
  Especially if Lava becomes the open neuromorphic standard.

• Defense, Aerospace, Automotive In-Cabin Monitoring, and Ultra-Embedded Edge AI
  Are BrainChip’s most defensible beachheads — but they must own these before 2027.

• Developer ecosystem risk is real.
  Whichever company wins the hearts of AI developers and researchers will control the future neuromorphic market — just like NVIDIA owns AI training today via CUDA.

• Roadmap execution is now existential.
  Akida 2.0 must not just be evolutionary — it needs to create a visible, measurable leap ahead of Loihi and emerging hybrid AI chips.

Strategic Advice (to Brainchip Management):

• Double down on ultra-embedded verticals first (defense, small-scale industrial, automotive cabin).

• Launch “Akida Inside”-type marketing partnerships to gain mindshare (even small SoC wins matter).

• Aggressively expand MetaTF and make it the “easy button” for TinyML and neuromorphic edge deployment.

• Accelerate Akida 2.0 features focused on flexibility, robustness, and developer accessibility.

• Secure strategic licensing deals (with defense contractors, automotive Tier-1s) before Intel Loihi 3.0 hits.