> Is there a world where Intel basically admits defeat and tries to become a major ARM player?

These major strategy shifts require enormous courage, support and trust at the executive level, because they represent cannibalizing an existing (real) part of the business for the promise of future profits in a business that does not yet exist.

Kodak is a textbook example. Execs refused to pivot to digital cameras and associated products, because this would compete with the enormously profitable (and internally powerful) film business.