$Intel(INTC)$ INTC used to be fairly profitable, especially in its heyday. But many observers might see this as a shortcut to quick and easy profitability, to avoid doing the hard work of removing inefficiencies in both the foundry and product businesses, and investing and innovating again so as to be able to sell and produce some of the best chips on the market.

And as I said earlier, some investors are only putting capital into INTC because of its status as a vertically integrated American chip maker. Spin off the foundry or product business, and many of those investors will sell one business or the other, possibly both.

The best/dominant product company to own in the world today is probably $NVIDIA Corp(NVDA)$ , followed by maybe $Advanced Micro Devices(AMD)$ (both are American, as a bonus). The best foundry to own is $Taiwan Semiconductor Manufacturing(TSM)$ .

So INTC would likely lose many investors on both ends. Who wants to stick with second place in two industries instead of pivoting to two winners? Splitting INTC up would drive investors away from the INTC parent and spinoff, and toward NVDA, AMD, TSM.