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The following article was published in our article directory on September 29, 2010.
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Intel's Acquisition Of the Road

Article Category: Business

Author Name: xia zihui

August 27, Intel lowered its third-quarter revenue expectations. Intel expects third-quarter revenue of 110 billion U.S. dollars, plus or minus 2 billion U.S. dollars, 11.2 billion previously expected to -120 million. Intel this explanation, weak consumer demand in mature PC market, led to the company lowered its revenue forecast. Intel's expectations and the expected third quarter IDC basically. Prior to IDC, the global market weakness in the processor needs to be in August. Industry observers point out that this is a growing demand for PC processors, signal saturation.

However, with the growing consumer demand for PC weaker than the mobile device market is getting better.

July 21, Apple released the third quarter 2010 earnings, iPad for the quarter was 327 million units shipped. iSuppli which once again raised the expectations of the iPad, its analysts believe iPad tablet PC shipments this year will reach 12.9 million units, which gives more in April is expected to increase by 82%.

Analysts said, iPad will lead the wave of next-generation consumer electronics. Gartner research vice president Leslie • Fairlynn comments: "As to the MP3 market, Apple has brought revolutionary changes in the magic, Tablet PC market, Apple will bring the same change."

IDC estimates on the Tablet PC boom, from 2010 to 2014, Tablet PC shipments expected to grow at an average annual growth rate of 57.4% in 2010 and 2011 Tablet PC shipments worldwide will reach 16.4 million units, and 35 million units, enter 2014, the world's Tablet PC shipments will reach 46 million units. When in 2012, Tablet PC shipments will exceed the Internet.

At the same time, smart phones are still growing. In the second quarter, worldwide mobile phone sales to 326 million, of which the proportion of smart phones reached 19%, an increase of 50.5%.

In addition, the book continues to be favorable in the world. June 2010, Jobs in the AllThingsD conference that the future changes in PC form is inevitable, and the current PC happened gradually so that weakening the position in life. Jobs will become the new era of "post-PC era."

"Old age" of the time begins to blur, however, provide time for the computing power of these two properties of the chip is different.

In the PC, laptop era, chip processing speed is the most important indicator of the chip, and in the era of diversified mobile terminal, the chip equipment maker requires a better performance, such as lower power consumption, longer-lasting battery life time. An HP Information architect RobShein pointed out that with the field of mobile technology, to X86 chip architecture will no longer be as dominant. The only innovation is the only device performance. Meanwhile, the market demand for these properties and very flexible. Therefore, Intel, AMD and other chip makers must change pace, to adapt to this change. Moore's Law is no longer the only rules of survival here.

Mobile phone chip as the cutoff point

In fact, Intel has started to advance to expand into mobile computing.

June 4, 2009, to 884 million Intel to buy Wind River Systems company. Wind River to help companies develop and manage software, handheld devices, especially in embedded systems and wireless products. Both are very concerned about the growth target of Intel, which hopes to enter the handheld market.

February 2010, Intel and mobile phone giant Nokia announced that it will integrate their development of the Linux operating system, called MeeGo create a new mobile operating system, it would apply to include notebooks, netbooks, tablet PCs, connectedTV and other electronic products and infotainment systems.

Prior to this, Intel in March 2008 introduced the Atom processor, which uses popular PC-X86 chip architecture, designed for small or low-power devices. Atom processor has been in the Internet and cheap notebook this is very popular, the business about 4% of its total revenue. However, the chip in the smart phone does not have too many areas of the highlights. Data show that the smart phone market, about 85% of the equipment used ARM architecture.

In addition, 23 known domestic and foreign manufacturers of Tablet PC programming, only Asus, Fujitsu, and HW 3 enterprises such as Microsoft and Intel to consider the other outside vendors except Apple, were selected on the ARM and to some extent Google's Android operating system, Tablet PC as their part of the strategy.

ARM CEO Tu Deer • Brown even claimed that the true age with the advent of 3G and fixed Internet access devices will still be based on the Intel chip architecture, mobile Internet terminals will be dominated by ARM. This is not sensational, the future Internet applications will increasingly dominated by mobile Internet. Internet users are now 60% to 70% is fixed Internet access, 1 / 3 is wireless Internet access, but in another three to five years later, must be mobile Internet users than fixed Internet users.

Weakness of the face was the industry that the acquisition of Infineon's Wireless Solutions Division, will be Intel cut the key points in this market. iSuppli to think that the Infineon baseband chip, and features low power consumption of its chips to make up for shortage of Atom chips.

In the global demand for wireless solutions will continue to increase at an alarming rate case, Otellini demonstrated the acquisition of a more straightforward meaning: "The acquisition of Infineon's wireless solutions business and enhance the company's second pillar computing strategy - Internet connection, while allowing us to offer a complete portfolio of products. "It is understood, Otellini said the range of product portfolio covers 3G and Wi-Fi and WiMAX and LTE wireless options.

In fact, Intel had also engaged in the experience of mobile phone chips. Back in the bubble period, Intel will be through the acquisition of a mobile phone company, access to the production of chips based on ARM licensed technology rights. Youyi 1.6 billion then to buy a chip company. However, this failed to achieve the desired part of the business. In 2006, Intel this part of the business to 600 million U.S. dollars the company was sold to Marvell.

That year, Intel said in its statement, the marketing plan will enable Intel to focus on its core business investments, including the Intel architecture-based high-performance, low-power processor, and Wi-Fi and WiMAX broadband wireless technology in emerging mobile computing technology.

Analysts believe that Intel will contribute to this experience, or move it back to the computer market.

As more computing devices connected to the Internet, Intel is also working on their own role in re-positioning the market to take advantage of market segments in each of the advantages of computing, including laptops, handheld computers and more relevant products.

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