Intel Corporation
Since 1968
Russia
USA
Santa Clara
Top managers:
Fischer Dag
Pat Gelsinger
Assets
Intel Corporation (pronounced Intel Corporation) is an American corporation that produces a wide range of electronic devices and computer components, including semiconductors, microprocessors, system logic sets (chipsets), etc. In addition to microprocessors, Intel produces semiconductor components for industrial and network equipment.
Structure and Management
As of June 2021, Intel has the following divisions:
- Intel Client Computing Group
- Datacenter and AI
- Network and Edge Group
- Software and Advanced Technology Group
- Accelerated Computing Systems and Graphics Group
- Non-volatile Memory Solutions Group
- Programmable Solutions Group
Financial performance
White Paper: Intel Financials
The company's fiscal year ends on December 31.
Business in Russia
Main article: Intel Russia
Intel began working in Russia in 1991. As of the beginning of 2017, Intel's staff in Russia is about 1000 people, 700 of whom are engaged in research and development.
M&A
Main Article: Acquisitions and Sales of Intel Assets
Intel's history is filled with numerous acquisitions and asset sales, many of which are described here.
Employees and Work at Intel
White Paper: Employees and Work at Intel
Development centers
White Paper: Intel R&D Centers
Processors
2024
Intel leaves Dow Jones Index. Nvidia will take its place
On November 1, 2024, it became known that Intel's place in the prestigious Dow Jones Industrial Average index would be taken by Nvidia. This event underscores the shift in the chip manufacturing market in favor of AI solutions and is another blow for Intel, which has been part of the named index since 1999.
According to CNBC, Nvidia was able to significantly strengthen its market position thanks to a boom in artificial intelligence. This company is a leading manufacturer of GPU-based AI accelerators, the demand for which remains very high among hyperscalers, data center operators and server hardware suppliers. Nvidia rose more than 170% in 2024 after jumping about 240% in 2023. The market capitalization of the accelerator supplier by the beginning of November 2024 reached $3.5 trillion: according to this indicator, Nvidia is second only to Apple among public companies. Demand for its next-generation graphics accelerators, codenamed Blackwell, remains "insane," according to Nvidia.
At the same time, Intel found itself in a very difficult position: it is losing market share in favor of AMD, and progress in the field of AI leaves much to be desired. Intel's share price more than doubled in 2024, while the corporation itself is struggling with manufacturing problems and stiff competition. Intel is forced to take extreme measures, including reducing thousands of employees around the world, reducing office space, etc.
Losing a place in the Dow Jones index will be another reputation blow for Intel as the company undergoes a painful transformation and loses confidence, said Susannah Streeter, head of finance and markets at Hargreaves Lansdown.[1] |
Challenges continue: Loss of mega contract to produce processors for new PlayStation game consoles
In mid-September 2024, it became known that Intel had lost a major contract for the production of processors for the new PlayStation game consoles. We are talking about the PlayStation 6 consoles, which are being developed by the Japanese company Sony. Read more here
Chip Business Branch
On September 16, 2024, Intel announced a major restructuring to improve its financial position and strengthen its market position. The comprehensive program, in particular, provides for the separation of the Intel Foundry microchip business into a separate company.
Intel showed negative results for the second quarter of 2024: the corporation recorded losses of $1.6 billion. This was followed by the news that Intel intends to lay off about 15% of employees. Against this background, the company's CEO Pat Gelsinger announced that changes are being made to the semiconductor product business. Intel Foundry will become an independent subsidiary.
The child structure will reveal important advantages. It will provide our customers and suppliers with a clearer understanding of operations and independence from the rest of Intel. Importantly, it will also give us the flexibility to evaluate independent funding sources and optimize the capital structure of each business in order to maximize growth and create shareholder value, says Gelsinger. |
As part of the restructuring as part of the Intel Foundry leadership team, no changes are planned as of September 2024. The directors of this structure will continue to report directly to Gelsinger. In addition, an operating board is formed, including independent directors to manage the subsidiary. According to Gelsinger, these changes support "a focus on improving transparency, optimization and accountability across the business." The key priority for Intel Foundry is to improve efficiency, it said. The restructuring, according to Intel, reflects "continuous progress" in creating a world-class chip business.[2]
Construction of factory in Germany and Poland frozen
On September 16, 2024, Intel announced that the construction of plants in Poland and Germany had stopped. The reason lies in financial problems - the company in the second quarter of 2024 suffered losses of $1.6 billion.
Investment in key markets has laid the groundwork for Intel's world-class manufacturing business in the age of artificial intelligence, it said. But against the background of the emerging macroeconomic situation, the corporation intends to move from accelerated investments to a more normalized rhythm of product development and a more flexible and effective investment scheme.
Intel CEO Pat Gelsinger spoke about plans for the future. According to him, the company has increased capacity in Europe through a facility in Ireland, which will remain the leading European hub for the foreseeable future. At the same time, projects in Poland and Germany are suspended for about two years - based on the expected market demand.
Malaysia remains a significant hub for Intel chip design and manufacturing. The corporation plans to complete the construction of an advanced packaging factory in the region, but will bring the launch of the lines in line with market conditions and the loading of existing facilities. No changes are planned in other production regions. Intel continues to invest in U.S. production through projects in Arizona, Oregon, New Mexico, and Ohio. The company names maximizing the value of x86 processors in the client, edge computing, and data center markets as its top priority.
We remain focused on scaling production around the world to meet market demand. The corporation continues to grow its semiconductor product business, says Gelsinger.[3] |
US leaves Intel without multibillion-dollar grants amid losses and massive layoffs at the company
On September 10, 2024, it became known that the US authorities decided to postpone the provision of funds to Intel for the development of semiconductor production in the country, which were allocated under the CHIPS and Science Act. The reason for the refusal was losses and mass layoffs in the company.
The CHIPS program, aimed at strengthening the American semiconductor industry, involves paying Intel a grant of $8.5 billion and providing $11 billion in a soft loan. In addition, the corporation was provided with a tax deduction of 25% in the amount of up to $100 billion. To receive Intel funds, you need to achieve certain indicators, as well as undergo comprehensive verification. However, the financial results for the second quarter of 2024 were negative: the corporation recorded losses of $1.6 billion. This was followed by the news that Intel intends to lay off about 15% of employees. At the same time, the "Law on Chips," on the contrary, is aimed, among other things, at creating new jobs in the semiconductor industry.
Intel's woes were further compounded after shareholders sued the company over falling stock values that could result in a loss of place in the Dow Jones Industrial Average. The company withheld information about its problems, the complaint said. Against this background, the Intel board of directors is considering reducing non-performing assets, including the suspension or cancellation of the construction of a chip plant in Magdeburg (Germany) and the sale of a stake in Altera.
Thus, the American authorities want to make sure that billions of taxpayer dollars allocated to Intel under the "Chip Act" will not be wasted. Therefore, the provision of funds has been postponed.[4]
Intel stopped the construction of a plant in Israel for $25 billion. The company is short of money
On June 10, 2024, it became known that Intel stopped the construction of a large Fab 38 enterprise in Israel worth approximately $25 billion. The reason is that the corporation is running out of funds.
In December 2023, the Israeli government agreed to provide Intel with a grant of $3.2 billion for the construction of a new chip plant in Kiryat Gat. In exchange, Intel was required to commit to purchase locally manufactured components and materials for a specified amount annually for a period of 10 years. The site was expected to be operational in 2028, but the corporation faced a shortage of money. Intel notes that the decision to suspend the construction of Fab 38 is dictated by the need to adapt large projects to changing market conditions.
Israel remains one of our key global manufacturing and research centres and we remain fully committed to the region. Our strategic decisions are based on the business situation, market dynamics and responsible capital management, the corporation said in a statement. |
As of 2024, Intel operates four facilities in Israel, including the Fab 28 facility in Kiryat Gat. This plant produces chips using 10nm technology. In addition, the corporation conducts research and development at Israeli sites. Intel has approximately 12,000 employees in this country. The frozen Fab 38 project is "an important part of Intel's efforts to build a more sustainable global supply chain" - along with the company's investments in Europe and the United States. When Intel expects to resume construction of the enterprise, nothing is reported for June 2024.[5]
Chinese officials banned from purchasing PCs with Intel and AMD processors
At the end of March 2024, it became known that China introduced new guidelines in response to sanctions from the United States. The use of Intel and AMD processors in computer systems for government organizations is prohibited. Read more here.
Plan to allocate $20 billion in state funds for the construction of microcircuit plants in the United States
In March 2024, it was announced that Intel would receive almost $20 billion in the United States for the construction of chip factories, the largest award in a program aimed at reviving the American chip industry.
The package includes $8.5 billion in grants and $11 billion in loans.
Federal funds are expected to start flowing before the end of the year.
2023
Intel will pay €376 million to bribe PC manufacturers
In mid-September, Intel was fined €376 million for violating antitrust laws almost two decades ago. It is reported by Reuters.
In 2009, Intel paid manufacturers HP, Acer and Lenovo to delay or cancel the production of computers using processors from competitor AMD.
The General Court confirmed that Intel's unreasonable restrictions constitute an abuse of market dominance under EU competition rules, the European Commission said in a statement. |
Initially, the court imposed a fine of €1.09 billion on the company, but the European Court of General Jurisdiction in Luxembourg overturned the decision. At the same time, the court admitted that Intel illegally removed a competitor from the market, which is why the European Antimonopoly Commission reopened the case against Intel. The Commission re-awarded the company a fine for their actions from November 2002 to December 2006. The court noted that Intel's restrictive measures are in fact market competition violations.
The decision to reimpose the fine, Brussels claims, underlines the Commission's "commitment to ensuring that very serious breaches of antitrust law do not go unpunished."
The company said it is evaluating the possibility of filing an appendix. Also by September 2023, Intel expects an EU decision to allocate €10 billion to the company for the construction of a factory for the production of chips and processors in Germany.
The European regulator fined Intel 1.1 billion euros back in May 2009. There were two main claims against the company: Intel provided special discounts to computer manufacturers who agreed to purchase central processors with x86 architecture from Intel for their needs; Intel paid computer manufacturers to cancel or postpone the launch of products that had competing x86 processors installed.[6]
German government grants €10bn to Intel to build plant in East
In June 2023 Germany , Intel Corp. entered into an agreement to provide the American company with subsidies in the amount of 10 billion euros (10.9 billion) dollars for the construction of a semiconductor plant in the eastern part of the country, sources said.
Chancellor Olaf Scholz and Intel Chief Executive Officer Pat Gelsinger sign the agreement at a ceremony in Berlin on June 19.
Israel Plant Construction Plan
Intel Corp. agreed in principle to build a new plant in Israel, part of an effort by the American semiconductor giant and its chip-making peers to diversify its production sources.
The preliminary deal was announced by the Israeli Ministry of Finance and Prime Minister Benjamin Netanyahu on Sunday June 18, 2023. Intel confirmed the company's "intention to expand production facilities in Israel," where it is already actively operating, but did not specify the conditions or provide other details.
Plan for the construction of a plant in Poland for $4.9 billion
In June 2023, it became known that Intel plans to invest $4.9 billion in the construction of a plant in western Poland, which is the latest project in the EU, which seeks to increase chip production amid growing geopolitical tensions.
2022
Intel will pay $950 million to steal technology for its processors
On November 15, 2022, a jury in Texas fined Intel $948.8 million for illegally using VLSI Technology's proprietary technologies in its processors. Read more here.
Wi-Fi 7 Demo with Broadcom
Intel and Broadcom held a joint presentation to demonstrate successful data transfer over Wi-Fi 7 (802.11be) at speeds over 5 Gb/s. This is five times faster than the Wi-Fi 6 standard. This fat is known on September 9, 2022. Read more here.
Cancellation of an unpaid fine of €1.06 billion
On January 26, 2022, the European Court of General Jurisdiction in Luxembourg overturned the decision of the antimonopoly authorities of the European Union of 2009 to impose a fine of €1.06 billion on the American company Intel.
The court ruled not in favor of the European Commission, canceling the fine against Intel for the alleged displacement of competitors from the market. The commission can still appeal this decision to the European Court of Justice. In its decision, the court ruled that the analysis conducted by the European Commission was incomplete and did not prove that the discounts that Intel provided to users had an anticompetitive effect. The Court of Justice of the European Union (EU) heard the case for the second time, after the European Court of Justice sent the case for retrial. In 2014, an EU court upheld the fine, but in 2017 the European Court of Justice ordered another review of the case, citing legal errors in the case.
In May 2009, the Commission imposed a fine of more than €1 billion, citing the company's abuse of its dominant position in the x86 microprocessor market. For 2009, it was the largest fine imposed by the EU. Between 2002 and 2007, Brussels claimed, Intel used its dominant market share to outperform rival AMD. The commission also accused the company of Intel paying German network Media-Saturn to sell computers with only Intel processors, eliminating competitors in a key European market.
The legal maze resulting from the bloc's antitrust cases has led the EU to draft a digital market law. The proposed law, which is under discussion for January 2022, will significantly change the way large technology companies do business in Europe.[7]
Construction of the world's largest chip complex for $100 billion in the US state of Ohio
At the end of January 2022, Intel announced an investment of up to $100 billion in the construction of the world's largest chip complex in Ohio. The company is looking to increase capacity amid a global shortage of semiconductors.
The move is part of Chief Executive Officer Pat Gelsinger's strategy to restore Intel's dominance in chip manufacturing and reduce America's reliance on Asian manufacturing centers that hold the market tightly.
Gelsinger noted that the initial investment of $20 billion for the construction of a production shop on a 404.6 hectare site in New Albany, Ohio, will create 3,000 jobs. The company subsequently plans to invest up to $100 billion, which will allow the construction of eight plants. Gelsinger believes Ohio could become "the largest semiconductor manufacturing site on the planet."
While chipmakers are struggling to increase production, Intel's plans for new plants won't ease supply shortages because such complexes take years to build. Gelsinger confirmed that he expects the chip shortage to continue through 2023. In 2021, Intel lost first place to semiconductor supplier Samsung, dropping to second place with just 0.5% growth, the lowest in the top 25, according to Gartner.
Intel's Ohio investment is expected to attract new partners and suppliers. Air Products, Applied Materials, LAM Research and Ultra Clean Technology have shown interest in establishing a presence in the region, Intel said. It is assumed that the construction of the first two plants will begin at the end of 2022, and production - in 2025.[8]
2021
Banning suppliers from working with the Chinese region
On December 23 American , 2021, chipmaker Intel faced backlash the Chinese from authorities for asking suppliers to avoid purchasing goods from the Xinjiang region, where Beijing they are accused of widespread human rights abuses. The company apologized.
Intel published what it described as an annual letter to suppliers saying the company "needs to ensure that its supply chain does not use any labor or goods or services from the Xinjiang region," under restrictions imposed by "multiple governments."
The United States accuses China of widespread human rights abuses in Xinjiang, which is home to predominantly Muslim Uighurs and uses forced labor. Beijing has repeatedly denied the claims.
The Intel letter, posted on the company's website in several languages, drew criticism in China from state and social networks calling for a boycott.
Later in a December 23, 2021 statement in Chinese on its official WeChat and Weibo accounts, Intel said its commitment to avoiding supply chains from Xinjiang was an expression of compliance with U.S. law, not a statement of its position on the issue.
We apologise for the problems caused to our esteemed Chinese customers, partners and the public. Intel is committed to becoming a trusted technology partner and accelerating joint development with China, Intel said, adding that it "respects the sensitivity of this issue in China. |
On the Chinese social network Weibo, singer Curry Wang said he would no longer act as a brand ambassador for Intel, adding in a statement that "the national interest is paramount," and many users ridiculed Intel's apology as an attempt to protect sales in China.
China's foreign ministry said "allegations of forced labor in Xinjiang are lies made up by anti-Chinese American forces" aimed at destabilizing China and hindering its development.
We take note of this statement and hope that the relevant company will respect the facts and distinguish the right from the wrong, "Foreign Ministry spokesman Zhao Lijian said at a daily briefing in Beijing.[9] |
Construction of a semiconductor plant in Malaysia for $7.1 billion
On December 16, 2021, Intel officially announced an investment of about $7.1 billion in the construction of a new semiconductor plant in Malaysia. The American corporation is implementing this project in an attempt to cope with the global chip shortage.
The company will deal with the so-called chip packaging (chip packaging, the last stage in the process of manufacturing the processor), which plays a critical, albeit not everyone noticeable role in the production of electronics. Being the physical interface between the processor and the motherboard, the package is a transfer link for electrical signals and power supply. The higher the requirements for the processor, the more complex the packaging problem becomes.
The Malaysian Intel factory is expected to start operating in 2024, provide production on advanced technical processes and create more than 9 thousand jobs (5 thousand for builders and 4 thousand for Intel employees).
This is really a timely undertaking, given the increased global demand caused by the shortage of chips. The world is facing new challenges while it recovers from the COVID-19 pandemic, said Malaysian Minister of International Trade and Industry Mohamed Azmin Ali. |
In mid-December 2021, CEO Pat Gelsinger Intel paid a working visit not only to Malaysia, but also Taiwan - and met with representatives. TSMC Earlier, the agency Bloomberg reported that Intel will agree to expand the contract production of its own products - for example, the Arc Alchemist line of desktop graphics cards, which will be produced using the TSMC 6nm process technology.
According to Pat Gelsinger, Intel plans to announce the construction of new plants in the United States and Europe in early 2022 .[10]
Chip Manufacturing and Enclosure Technology Implementation Plan 2025
On July 27, 2021, Intel presented one of the most detailed implementation plans for chip manufacturing and packaging technologies, demonstrating a series of innovative solutions that will be used in its products until 2025 and beyond. In addition to announcing RibbonFET, a transistor architecture, and PowerVia, a way to supply power from the back of a silicon wafer, the company plans to accelerate the introduction of extreme ultraviolet lithography of the latest generation (Extreme Ultraviolet, EUV), known as extreme ultraviolet lithography with a high numerical aperture - High Numerical Aperture (High NA) EUV. Intel plans to receive High NA EUV production tools.
Building on Intel's development in the field of chip packaging, we are accelerating the process of implementing our strategy in order to take a leading position in manufacturing processes by 2025, "said Intel CEO Pat Gelsinger during the global broadcast of the Intel Accelerated conference. - We use our reserve of developments for further development of technological processes - from transistors to system level. Until the periodic table is exhausted, we will tirelessly follow Moore's Law and our path to creation through silicon magic. |
The traditional name of the norms of technological processes in nanometers ceased to correspond to the actual dimensions of the gates of transistors back in 1997. Intel presents a different concept for naming its processes, which forms a clear and consistent structure that can convey to customers a more accurate understanding of topological norms. This is especially true with the launch of Intel Foundry Services (IFS).
The submitted developments will contribute to the implementation of Intel's product launch plans. They are also extremely important to the customers of our contract manufacturing business, "Gelsinger semiconductors said. - Interest in IFS is high and I am very pleased that we have announced our two first major customers. |
Intel specialists presented the names of technological norms with innovations for each subsequent process:
- Intel 7 delivers about 10-15 percent more performance per watt than the Intel 10nm SuperFin by optimizing FinFET transistors. Intel 7 will be introduced in products such as Alder Lake for client systems in 2021 and Sapphire Rapids for data centers, which are expected to start production in the first quarter of 2022.
- Intel 4 will take full advantage of EUV lithography to form extremely small elements using extreme ultraviolet instruments. Intel 4 will deliver about a 20% performance-per-watt improvement along with a further increase in cell density per unit area. Intel 4 will debut in production from the second half of 2022 and will first appear in 2023 commercial products such as Meteor Lake for client systems and Granite Rapids for data centers.
- Intel 3 will be based on further FinFET optimizations and the expanded use of EUV tools to achieve performance gains per watt of approximately 18% over Intel 4, along with other improvements. Intel 3 is expected to be ready for commercial production in the second half of 2023.
- Intel 20A will be Intel's first angstrom process technology. Its implementation will be related to two technologies - RibbonFET and PowerVia. The ambient (Gate-All-Around, GAA) RibbonFET will be Intel's first new transistor architecture since FinFET was first introduced in 2011. This technology provides a faster transistor switching rate at a smaller footprint with a channel current comparable to a multi-channel configuration. PowerVia is Intel's substrate-side power system that optimizes signaling by eliminating the need to route power circuits on the front of a silicon wafer. Intel 20A is expected to launch in 2024. Intel is also excited about the opportunity to partner with Qualcomm on the Intel 20A process technology.
- 2025 and beyond: In addition to the Intel 20A, the Intel 18A process is also under development, expected to launch in early 2025 with improved RibbonFET technology to further increase transistor performance. Intel is also working to identify, create, and implement next-generation High NA EUV technology and hopes to get production tools based on it. To achieve this industry breakthrough, Intel works closely with ASML.
Over the years, Intel has contributed to fundamental technologies that impact the industry's rapid growth, "said Dr. Ann Kelleher, Senior Vice President and General Manager, Technology Development at Intel. - We have made the transition to intense silicon at 90 nm norms, to High-K dielectrics and metal gates of the transistor at 45 nm norms and to the FinFET architecture at 22 nm. Intel 20A will be another milestone in the development of manufacturing technologies thanks to two innovations: RibbonFET and PowerVia. |
As part of the IDM 2.0 strategy presented, building becomes an even more important area of Intel research for realizing the benefits of Moore's Law. Intel has announced that AWS will be the first client to use IFS chip package solutions, and also discussed in more detail plans for developing chip package technologies:
- EMIB - the use of small connecting crystals with several layers of interconnections (Embedded Multi-die Interconnect Bridge, EMIB), is still a key industry technology with the first practical implementation of bridge interconnection in 2.5D structure. EMIB products have been available since 2017. Sapphire Rapids will be the first mass-produced Xeon product for data centers with EMIB technology. It will also be the industry's first twice-scaled device with a performance level that is comparable to a monolithic design. After Sapphire Rapids, the next generation of EMIB technology will appear, where the spacing between contacts will decrease from 55 microns to 45 microns.
- Foveros is a 3D layout solution for silicon wafer-level chip assembly. Meteor Lake will become the second generation of client products using Foveros, they will be characterized by a contact pitch of 36 microns, modules with different process standards and a range of design thermal power in the range from 5 to 125 W.
- Foveros Omni - the generation of Foveros technology opens up additional possibilities for flexible use of 3D layout to create modular designs and interconnections between crystals. Foveros Omni allows you to create products with different process standards due to the ability to layered disassembly the crystal and then group several upper layers of one crystal with several base layers of another. Foveros Omni is expected to be ready for mass production in 2023.
- Foveros Direct provides a transition to a direct copper-to-copper connection to form low-resistance interconnections and erases the transition between the silicon wafer and the chip body. Foveros Direct allows you to work with a gap between contacts less than 10 microns wide, which allows you to increase the interconnect density for 3D layout by an order of magnitude and opens up previously unattainable opportunities for implementing new concepts of functional crystal separation. The introduction of Foveros Direct, which complements Foveros Omni, is also expected in 2023.
The technological advances presented were developed primarily at Intel facilities in Oregon and Arizona, which confirms the company's role in the research, development and production of semiconductors in the United States. In addition, these innovations are the result of close collaboration with Intel's ecosystem of partners in the US and Europe. Strong partnerships are the foundation for fundamental innovation throughout the journey, from the lab to large-scale manufacturing. Intel works closely with government organizations to strengthen product delivery channels and ensure economic and national security.
Restructuring to adapt to new market conditions amid COVID-19
At the end of June 2021, Intel CEO Pat Gelsinger announced that the company has begun a restructuring aimed at adapting the company to new market conditions amid the COVID-19 coronavirus pandemic. The server division of the Data Platform Group was divided into two subgroups (Datacenter and AI and Network and Edge Group): Software and Advanced Technology Group and the latest computer and graphics systems (Accelerated Computing Systems and Graphics Group) were also created.
As part of the restructuring, Navin Shenoy, chief executive of Data Platform Group Intel, will leave the company. The revamped server business will be led by longtime Intel Chief Executive Sandra Rivera and led by Nick McKeown. McKeown joined Intel when it acquired his company Barefoot Networks in 2019. He has since been a senior fellow at Intel.
Rivera "will focus on developing innovative technologies for data centers in the cloud," which will include Xeon and FPGA products. The McKeown-led Network Technology Group will combine the Intel Network Platforms Group, Internet of Things Group and Connectivity Group into "a single business unit designed to ensure the company's leadership in the network technology market."
The new Software Development and Technology Innovation Team will be led by Greg Lavender, a former VMware executive who worked at Intel as the group's CTO, senior vice president, and general manager. According to company representatives, this group will "implement Intel's unified vision for software, guaranteeing a competitive advantage for the company."
The group of the latest computer and graphics systems will be led by Raja Koduri, a former chief executive whom AMD Intel hired in 2017 to develop discrete GPUs. The new division will focus on high-performance computing and GPUs, providing integrated and discrete solutions for enterprises and data centers.[11]
Investing $3.5 billion in a New Mexico plant to eliminate chip shortages
At the end of April 2021, Intel announced its intention to invest $3.5 billion in the Rio Rancho plant in New Mexico to eliminate the chip shortage and deploy work with the Foveros spatial layout. Read more here.
Plan to launch 2 new plants in Arizona for $20 billion
In March 2021, Intel announced that it would spend $20 billion on two new chip factories in Arizona.
The plan, launched by new Intel CEO Pat Helsinger, aims to bring the US company into direct competition with TSMC and Samsung Electronics, the world's leading chipmakers.
But even with such an ambitious goal, Intel is unlikely to be an immediate threat to TSMC, analysts at Bloomberg Intelligence said.
Potential manufacturing customers including Apple, AMD and Qualcomm are also competitors to Intel in the processor market, so they may be reluctant to change orders.
$2.18 billion fine for illegal use of VLSI Technology
In early March 2021, a jury in the United States sentenced Intel to pay a fine of $2.18 billion for the illegal use of technologies for which patents belong to VLSI Technology.
We are talking about two developments to help increase the speed and overall performance of computer processors. One of the patents was received by Freescale Semiconductor in 2012, the second in 2010 by SigmaTel. Freescale later bought SigmaTel, and with the 2015 takeover of Freescale by NXP, patents also passed to the latter. They were subsequently taken over by VLSI Technology, which is alleged to have been set up specifically for a legal battle with Intel.
The plaintiff company is a kind of patent troll, Intel's attorneys said. The original VLSI, the defendant's lawyers say, actually ceased to exist 20 years ago, and the current plaintiff is a dummy company that has no activities other than lawsuits over patents belonging to it. VLSI Technology simply "took two patents off the shelf that have not been used for 10 years" and demanded $2 billion in compensation, which is "outrageous," said Intel lawyer William Lee.
A VLSI lawyer, in turn, said that patents are related to the most important aspect of competition, as they protect inventions that increase processor performance, and accused Intel of deliberately ignoring patents. Moor Insights & Strategy analyst Patrick Moorhead, in a conversation with SiliconANGLE, noted that VLSI should not be confused with companies such as Qualcomm, which actually create intellectual property themselves and then license it. VLSI is most likely just buying up patents and then trying to make other companies pay to use them, the expert said.[12]
Trump revokes Intel license to work with Huawei
In mid-January 2021, the Trump administration notified some Huawei suppliers, including chipmaker Intel, to revoke the Chinese company's supply licenses. The White House is also set to reject dozens of other applications for permits to supply American products to the Chinese telecommunications equipment maker. Read more here.
2020
Investing $350 million in processor manufacturing in Costa Rica
In mid-December 2020, Intel announced a $350 million investment in microprocessor assembly and testing in Costa Rica. The investment is expected to allow the company to create more than 200 new jobs in engineering areas in the coming months. Intel intends to launch an enterprise in Costa Rica in the second half of 2021, and the announced investment is designed for three years.
During the manufacture of the microprocessor, wafers made of semiconductor material are sent for assembly and testing. Each microprocessor is assembled and packaged in a protective housing and then checked for operability. Costa Rica will join Intel's manufacturing sites in Malaysia, China and Vietnam, which are Intel's only global microprocessor assembly and testing sites.
Costa Rica has become a more reliable place for investment in a pandemic, and investments of this size open up new employment opportunities for people with different skills and education profiles, said Costa Rican President Carlos Alvarado. |
Microprocessor assembly and testing will be conducted at Intel's Costa Rica campus in San Antonio de Belen and will begin in the second half of 2021. The new operations will complement Intel's established portfolio of services in Costa Rica, employing more than 2,100 people. Intel's operations are divided between two major centers: the R&D Center is the largest R&D center in the country and is engaged in the design, prototyping and testing of integrated circuits, and the Global Services Center performs multifunctional tasks in the field of marketing and quality control.[13]
Creating Cornelis Networks
At the end of September 2020, Intel announced the creation of a new company Cornelis Networks, into which the entire business related to Intel Omni-Path Architecture (Intel OPA) technology is transferred. For this business, the American corporation has already found investors. Read more here.
Launch Innovation Lab with Nutanix
On August 19, 2020, Nutanix announced the launch of an innovation lab in collaboration with Intel. The joint Nutanix and Intel Lab will receive dedicated engineering resources and products to research, adapt, and implement Intel's innovations in computing, networking, and storage through Nutanix software solutions. Read more here.
Hackers unveiled 20GB of Intel source code and classified documents
On August 6, 2020, part of Intel's confidential data stolen by hackers appeared on the Internet. The Swedish information security researcher, who published some of the data, intends to disclose even more classified documents.
Some of the stolen Intel data was published by Swedish engineer Till Kottmann (user name on Twitter-deletescape). The archive, which reaches 20 GB, contains confidential company data such as firmware source codes, technical documentation, Intel processor data and other information for 2016.
The folder contains the following information:
- Intel Management Engine Data;
- Intel Consumer Electronics Embedded Software Development Kit Data;
- Technical data and information about Kaby Lake processors;
- Various company roadmaps and other documents;
- Information about Rocket Lake S processors;
- Schemes, documents, tools and software for the Tiger Lake platform;
- Various debugging tools as well as development tools;
- Binaries for Intel camera drivers it made for SpaceX;
- Descriptions of various platforms, including HDL codes;
- Trace Hub files for debugging systems based on Intel processors;
- Elkhart Lake platform reference book and code samples for it;
- Various documents about Xeon series processors;
- Debug BIOS versions for various platforms;
- Bootguard SDK;
- Snowridge/Snowfish process simulator;
- Various schemes;
- Intel marketing materials and more.
The documents themselves seem to be nothing of themselves, but as Apple insider writes, based on this data, you can create exploits that can be dangerous for MacOS systems. So far, no such programs have been found, but since the data is published, they can appear at any time. This, in fact, is the danger of this leak: there is enough data to find vulnerabilities.
Cottmann claims to have received the files from an anonymous source. The IT specialist uploaded the first part of the data to the Mega file sharing service, a link to the archive appeared on Kottmann's Telegram channel. He promises to publish the rest of the files later. Cottmann noted in his publication that the submitted files fall under the rules of the Non-Disclosure Agreement (NDA), that is, they are considered secret.
Cottmann believes hackers may have accessed the data from the Center for Resources and Design. This library is open only to Intel-based computer manufacturers.
According to The Register, published files may not be relevant. User data was not affected and Intel itself does not consider this leak as a serious hack.
The Swedish engineer noted that he often publishes data, as he supports the free exchange of information and wants security specialists in cyberspace to conduct their research, and users to improve their experience with technology. However, Intel is investigating, and Till Cottmann is not afraid that the company may make claims in connection with the release of the files.[14]
Stop shipping processors for Inspur
In early July 2020, it became known about the termination of the supply of Intel processors to Inspur. This happened after the tightening of export restrictions by the American authorities. Read more here.
Intel leads Pentagon project to protect military from cyber attacks with machine learning
In early April 2020, chipmaker Intel spearheaded a new Government Military Research Wing initiative USA DARPA to provide cyber protection for models machine learning used in the work. Pentagon More. here
Allocation of $50 million in the framework of the technological initiative to combat coronavirus COVID-19
White Paper: Intel COVID-19 Response and Readiness and Online Learning
On April 7, 2020, it became known that Intel will allocate an additional $50 million as part of a technology initiative to combat coronavirus, which is to accelerate access to technology in hospitals, develop research, and provide students and teachers with tools for online learning.
2019
AMD compared Epyc to Xeon and talked about deliberate underperformance of Intel processors
In late March 2019, AMD posted materials on its website on the benefits of its Epyc server processors over Xeon. The company reported that Intel underestimates the performance of its solutions so that customers buy more expensive products. Read more here.
Stopping the development of 5G chips together with the Chinese. Washington vs.
At MWC 2019 in February, Intel officially announced the end of joint development of 5G modems with China's second-largest chip manufacturer, Unisoc (formerly Spreadtrum Communications).
The head of the Intel 5G Advanced Technologies division, Rob Topol, explained the termination of the contract with Unisoc as follows: the American corporation "must make sure that it can scale 5G as quickly as possible."
As far as Unisoc is concerned, we have effectively ended this partnership... We decided that we would not continue this cooperation. Now we are going to focus some of our computing and 5G solutions directly on Chinese OEMs, "Topol said. |
In 2014, Intel bought for $1.5 billion a 20 percent stake in the Chinese state holding Tsinghua Unigroup, which owns Unisoc. After that, a close collaboration of chipmakers began, which, in particular, involved the creation of single-chip systems based on the Intel Atom microarchitecture at Spreadtrum.
In 2018, Spreadtrum stopped producing Atom-based chips, but the company agreed with Intel to create 5G chips for smartphones by the second half of 2019. The partners wanted to use two Intel modem chips from the XMM 8000 series and a Spreadtrum processor to develop a joint product.
Despite the end of cooperation, Intel will release its 5G chipset to manufacturers by the end of 2019. It took longer than expected to develop as Intel wanted to create a "clean 5G chip," Rob Topol noted.
According to the Nikkei Asian Review, the American authorities opposed the cooperation of Intel and the Chinese chipmaker, who feared that Beijing would gain access to important Intel technologies.[15]
Intel to invest €7bn to build new factory in Ireland
In February 2019, it became known about Intel's investment in the construction of a new production plant. It will be erected in the Irish city of Leixlip (County Kildare).
According to the Irish Times, citing documentation released by the company, investments in the project will amount to 7 billion euros. This is the chipmaker's biggest investment in Ireland.
The future factory, which will employ about 1,600 people, will be located next to other Intel manufacturing facilities in Leixlip, which employ more than 4,500 workers by February 2019.
As part of the new project, the American company received permission to use 90 thousand square meters. meters of land, and also applied for rights for another 110 thousand square meters. meters of the neighboring area. There will be built 8 huge water tanks, a 48-meter tower and a building with generators and treatment plants.
Since the construction of the enterprise involves cutting down about 2.5 hectares of forest, Intel has pledged to plant 6 thousand trees and 12 thousand shrubs elsewhere. The company will also expand the nearest roads, install 400 additional parking spaces for bicycles and build a multi-storey car park with 600 cars.
The corporation does not disclose what will be manufactured at the new plant. Most likely, Intel will establish production of advanced 7nm processors there, while other Irish facilities are engaged in the production of 14nm products.
It is noted that Intel's investment in Ireland is in line with a strategy in which the company is increasing chip production in the context of computer upgrades in the corporate sector, including among small and medium-sized businesses. Intel is also looking to address the acute processor shortage seen in retail since the second half of 2018.[16]
Intel invests $11 billion to expand chip production in Israel
At the end of January 2019, it became known about Intel's plans to invest $11 billion in the construction of a new plant in Israel. The company itself will spend $10 billion, and the country's government will provide $1 billion as a grant.
According to Israeli Finance Minister Moshe Kahlon on his Twitter blog, Intel notified him of its intentions to invest an unprecedented amount of 40 billion shekels ($10.9 billion) in the creation of a new factory. It will be located in southern Israel in the city of Kiryat Gat.
Intel itself did not disclose the details of the project, including the timing of implementation, cost and production technologies, and only announced plans to submit a business plan "to continue investing in the company's production site in Kiryat Gat."
When the company comes to Israel and invests $10 billion, it receives a 9% grant, that is, 91% of investments remain in the country. There are always discounts and rewards, "Kahlon stated in an interview with Army Radio. |
In past investment projects, Intel has asked Israeli authorities to cover 10% to 15% of planned spending, but the state has offered a 5% grant as well as a 5% tax subsidy on planned jobs and for at least 12 months, according to Haaretz. In the end, the government agreed to reimburse 8% of the costs, the newspaper notes.
Intel is the main exporter of industrial products in Israel with a supply of $4 billion at the end of 2018. From local companies, the processor giant purchased products worth $1.7 billion.
The new plant is expected to increase Intel's workforce in Israel by 1,000 in addition to the 13,000 employees who work there by early 2019. A considerable part of the workers falls on Mobileye, which was absorbed by Intel earlier.[17]
2018
$5 billion investment in expanding production in Israel and receiving a $185 million grant
In December 2018, the Finance Committee of the Israeli Parliament approved the provision of a grant to Intel in the amount of 700 million shekels (about $185.5 million at the exchange rate at the time of approval) as part of the financing of industrial expansion, which was planned by the American corporation. She invests about $5 billion in the expansion of the Fab 28 enterprise, located in the city of Kiryat Gat in southern Israel and engaged in the production of chips for servers, workstations, laptops and desktops.
In addition to expanding the factory for $5 billion, Intel undertakes to create 250 new jobs at this facility and conclude transactions worth 2.1 billion shekels ($560 million) with Israeli manufacturers and retailers every year. The company is set to apply for additional government subsidies in Israel for 2019 and 2020.
In 2014, Intel, after announcing the investment of 23.5 billion shekels in a plant in Kiryat Gat, received a grant for 1.7 billion shekels. Subsequently, the country's authorities made Intel a strategic partner, thanks to which the company began to pay corporate taxes at a rate of 5% instead of the standard 23%.
From 1974 to the end of 2018, Intel invested about $35 billion in the Israeli economy in the form of investments and acquisitions of local companies. Intel has become the largest employer in the IT industry among non-governmental companies in the country, with a staff of 11 thousand employees.
According to Ann Kelleher, Senior Vice President and Head of Manufacturing and Operations at Intel, expanding production will allow the company to respond faster to a surge in market demand and save up to 60% of the time when increasing supplies. In addition to Israel, Intel is expanding production in Oregon (USA) and Ireland, planning to start long construction work in 2019.[18]
Intel focused on Apple and left ASUS and Acer without processors
At the end of October 2018, information appeared that the main reason for the shortage of computer processors was Apple. Other PC manufacturers, including ASUS and Acer, are suffering from this collaboration between Intel and Apple. Read more here.
HPE urges partners to buy server chips from AMD, not Intel
In September 2018, HP Enterprise (HPE) began urging its partners to purchase server processors from AMD instead of Intel so as not to face a shortage of chips. Read more here.
2017
Divestment in OpenAI
In 2017, Intel had the opportunity to buy a stake in OpenAI, a start-up organization operating in a little-known area called generative AI.
Intel decided to abandon the deal because director Bob Swan did not believe that generative AI models would enter the market in the near future and thereby recoup the chip maker's investment.
Cooperation with the IOC
On June 21, 2017, the International Olympic Committee (IOC) and Intel announced the launch of a long-term technology partnership, the first stage of which was the official signing ceremony in New York with the participation of IOC President Thomas Bach and Intel CEO Brian Krzanich.
Intel will join the global sponsorship program "The Olympic Partner" (TOP), having received the status of a world top partner of the Olympic Committee for the period until 2024. Cooperation between Intel and the IOC will help change the face of the Olympic Games, help sports fans see the Olympics in all its glory.
Following the strategy for the development of the Olympic movement for the period until 2020, the IOC is actively concluding agreements with new partners, "said Thomas Bach. "In its field, Intel is a world leader, so we have high hopes for working with the Intel team to help us shape the future of the Olympics with the most advanced technologies. The Olympic Games act as a link between athletes and sports fans, inspiring people around the world with the help of sports and the Olympic principles of friendship, respect and desire for excellence. A global partnership with Intel will soon allow athletes, sports fans at stadiums and spectators around the world to discover new facets of the magic of the Olympic Games. |
The Olympics are a unique platform to showcase to the world how Intel technologies are shaping the future of big sport. The first fruits of the collaboration can be seen in February 2018 at the 2018 Winter Olympics in South Korean Pyeongchang, where Intel technologies will be used to livestream sports in virtual reality format.
Medtronic and Boeing heads join Intel board
On March 23, 2017, Intel announced the emergence of two new members on the corporation's board of directors. We are talking about the CEO of the medical device manufacturer Medtronic Omar Ishrak, as well as the financial director and executive vice president for corporate development and strategy of Boeing Greg Smith.
We are delighted to welcome two new independent directors with extensive experience in leading global innovation companies. We look forward to their valuable contribution as Intel continues to transform its business to grow in emerging and related market segments, "said Intel Chairman Andy Bryant, quoted in a press release. |
After Omar Ishrack and Greg Smith joined the Intel board of directors, the number of members there grew to 13, including Chairman Bryant. The composition is as follows:
- Intel Brian Krzanich CEO (Brian M. Krzanich);
- PayPal Holdings Chairman John Donahoe;
- Reed Hundt, director of the consulting company REH Advisors;
- head of investment firm Red Eagle Ventures David Pottruck
- ON Workday co-founder and CEO of corporate developer Aneel Bhusri.
- former U.S. Trade Representative Charlene Barshefsky;
- Frank D. Yeary, Executive Chairman of CamberView Partners;
- Professor of Engineering at Stanford University James Plummer;
- Harvard Business School professor David Yoffie;
- Tsu-Jae King Liu, professor in the Department of Electrical Engineering and Computer Science at the University of California, Berkeley[19]
2016
Creation of a division for the development of technologies for self-driving cars
At the end of November 2016, it became known about Intel's plans to develop technologies for self-driving cars. The company formed a special division, and also joined the project of automotive component manufacturers Mobileye and Delphi.
A separate structure at Intel, which focused on creating software and hardware for self-driving vehicles, was called the Automated Driving Group. It was led by Doug Davis, senior vice president and head of Intel IoT. For the sake of a new position, he postponed his retirement scheduled for the end of 2016.
The formation of the Automated Driving Group continued a series of actions by Intel regarding technologies that automate machine control. In July 2016, Intel announced a collaboration with Mobileye and the automaker BMW on a self-driving car project due in 2021.
In November 2016, Intel announced an investment of $250 million in the development of robotic vehicles, and also teamed up with Mobileye and Delphi to create related technologies.
Mobileye and Delphi will first use Intel Core i7 microprocessors in their development, and then Intel will provide new partners with a highly integrated chip that is developed specifically for use in cars. Ready-made solutions will be tested on commercial vehicles in closed areas.
The presentation of the joint system of Intel, Mobileye and Delphi is scheduled for CES 2017, which will be held in Las Vegas in January.
In addition to processors, Intel develops various sensors and communication solutions, security systems and machine learning. Tirias Research chief analyst Jim McGregor notes that Intel has many modems and chips, but the company is still lagging behind competitors promoting technology for self-driving cars.[20]
Intel is launching bespoke ARM processors. First customer - LG
On August 16, 2016, Intel announced the conclusion of a license deal with the British company ARM Holdings. The American corporation will produce mobile processors commissioned by customers, including Apple, Qualcomm, etc.
The collaboration between Intel and ARM was announced at the Intel Developer Forum (IDF) in San Francisco. The agreement provides that Intel will manufacture 10nm chips on the most popular architecture in smartphones and tablets - ARM.
The first Intel customer to place orders for the manufacture of ARM chips was LG Electronics. We are talking about some kind of new generation single-chip system with Artisan processor cores. The timing of the start of production of this processor at Intel's facilities has not been announced.
It is worth noting that by the time the partnership with ARM was announced, Intel was not going to independently develop ARM processors that could replace its own Atom solutions. However, even without this business, Intel can expect considerable additional income, given the large number of large companies (for example, Qualcomm, Apple, MediaTek) using the services of contract semiconductor manufacturers.
In addition to LG, at least two more companies - Altera and Spreadtrum (its processors are often found in budget tablets) - have ordered chip-making from Intel. Intel began making custom-made chips in 2013, taking on the market leaders (as of 2016) Taiwan Semiconductor Manufacturing Company (TSMC) and Globalfoundries.
IHS Technology analyst Ian Fogg believes that the ARM licensing deal provides Intel with a great opportunity to become a major player in the mobile processor market through the use of its advanced production facilities.[21]
Presentation of new technologies at Computex
Main article: Intel introduced a number of new technologies at the Computex worldwide exhibition
Sale of server processors bundled with Chinese chips
On January 21, 2016, Intel announced the start of a strategic partnership with Chinese partners, with whom it plans to launch upgraded Xeon processors for local data centers. Due to the new business, the American IT giant intends to win over corporate and state clients in the Celestial Empire.
According to Intel, the corporation is creating a joint venture (JV) with Tsinghua University and Montage Technology Global Holdings. The latter is a subsidiary of one of the largest state IT companies in China - CEC, which creates electronics for government agencies and military forces.
The new project, in which Intel invests more than $100 million, involves the development of processor modules, including Intel Xeon server chips and special programmable RCP (Reconfigurable Computing Processor) chips, developed by Tsinghua University specialists to "expand opportunities designed to meet special local requirements."
Details of the partnership were not disclosed. Gartner analyst Martin Reynolds notes that RCP solutions ensure that there is no "suspicious activity" in Intel chips.
According to J. Gold Associates analyst Jack Gold, Intel, looking to strengthen its position in the Chinese market of large data centers, has chosen the path of cooperation.
This is similar to Intel's partnership with MIT or Stanford University. The agreement will allow Intel to protect its processes, and Tsinghua to preserve what they have already developed, the expert said. |
Analyst Patrick Moorhead of Moor Insights says China is looking to build its own processor for state-owned companies for national security. In such a scenario, Intel will supply Xeon chips, Montage will add security bits to them, pack these solutions and send them to Chinese manufacturers, Moorhead said.
Montage plans to launch processor modules consisting of Xeon and RCP chips in 2017.[22]
2015
Dependence on Amazon and Microsoft
In November 2015, Business Insider published an article on Intel's growing dependence on Microsoft and Amazon. While these top cloud providers are bolstering the processor giant's financial fortunes, ultimately this collaboration may not turn into the latter's favor.
Intel is the main supplier of customer-optimized server chips used in the data center hardware Amazon Web Services (AWS) and Microsoft Azure. The annual revenue of these public cloud services is estimated at $7 billion and $1.4 billion, respectively. Companies have achieved such results far from without the help of Intel, which also benefits from this partnership.
Analysts at Deutsche Bank estimate that from 2009 to 2015, Intel increased chip sales to public cloud providers by an average of 50% per year. At the same time, in the context of falling demand for computer solutions, the corporation focuses on server solutions, which in the third quarter of 2015 brought Intel revenue in the amount of $4.1 billion - 12% more than a year earlier.
According to analysts, an increase in the share of chip sales to cloud companies in the total turnover may lead to the fact that these Intel customers will begin to dictate their terms and demand more discounts.
"If the big players in the public cloud market get even bigger, they'll have more leverage on Intel," said Moor Insights & Strategy analyst Patrick Moorhead. "By giving them strong support, Intel in a way helped spawn a monster."
Vice President and Lead Analyst of Gartner Lydia Leong agrees with this opinion, saying that Intel takes a lot of risks when it gives customers more "market power." According to the expert, corporations need to try to diversify their client ecosystem.
The head of the Intel Data Center Group (responsible for server products) Diane Bryant assures that the company's technologies are still unattainable for competitors, so customers will continue to buy Intel processors for a long time.
In October 2015, Amazon announced plans to use the chip Intel Xeon E7 (the most advanced in the server line at that time) servers in its cloud data centers. AWS[23]
Bold
Penalty for personnel collusion with other IT companies
In mid-January 2015, Adobe, Apple, Google and Intel announced their intention to pay $415 million in compensation for a pre-trial settlement of a class action lawsuit accusing IT companies of personnel conspiracy.
A lawsuit filed back in 2011 on behalf of 64 thousand employees of Apple, Google, Intel and Adobe claimed that these employers secretly agreed not to poach employees from each other, thereby limiting for them the possibility of salary growth and finding a more attractive job in a competing company.
According to Lucy Koch, in the case of conspiracy to obstruct the employment of workers, there is enough evidence of violation of antitrust laws, as a result of which, without a pre-trial settlement, Apple, Google, Intel and Adobe face a fine of $9 billion or more.
Technology companies claim that in recent years, their employees' salaries have increased, so that even in the case of any employers' agreements, employees' incomes have not been undermined.
2014: Combining Mobile Business with PC
On November 18, 2014, Intel announced the merger of a mobile business with a computer business. The new structure will be called the Intel Client Computing Group, its employees will develop side by side Core chips for desktops and laptops, as well as Atom chips for gadgets.
In early 2015, the Intel Mobile and Communications Group, which oversees the development of chips for smartphones and tablets, will be part of the PC Client Group, whose head, Kirk Skaugen, will become the head of the newly minted Intel Client Computing Group.
Hermann Eul, vice president and general manager of the integrated division of Intel Mobile and Communications Group, was asked by the head of the company Brian Krzanich (Brian Krzanich) to follow the process of merging assets. In the first quarter of 2015, Eul's new position at Intel will become known, Bloomberg reports, citing corporation spokesman Chuck Mulloy[24]
In a letter toemployees, Krzanich wrote this: "The market continues to grow rapidly, we need to change even faster to be ahead."
Analysts took the consolidation of the computer and mobile business as another attempt by Intel to gain a foothold in the market of processors for smartphones and tablets, which the company does poorly.
Intel combines mobile business with computer
In the third quarter of 2014, the operating loss in the Intel Mobile and Communications Group division exceeded $1 billion, and revenue decreased to $1 million against $353 million a year earlier. The financial downturn in the mobile business is due to the fact that the corporation pays device manufacturers subsidies for the use of Intel chips in its products. At the end of 2014, the American giant expects to release up to 40 million chips for tablet computers.
In July-September 2014, the Intel PC Client Group division recorded revenue of $9.19 billion, which is 9% more than a year earlier. The company hopes that as part of the planned restructuring, mobile chip engineers will be able to learn from their PC Client Group colleagues the experience of developing successful computer solutions.
2013
Termination of motherboard production
In January 2013, it became known that the production of Intel motherboards had stopped. According to market observers, on the part of the company, this is a quite logical step in this market, experiencing a protracted crisis.
According to Intel representatives, the production of these components will be gradually eliminated over the next three years. At the same time, Intel refused to name how many jobs will ultimately lead to a decrease in production.
Intel also emphasized that it made this decision in order to make more efforts to manufacture components for new promising form factors, in particular, mobile devices. However, the company was reassured, the PC business will still remain important to it.
However, some analysts have already suggested that Intel's refusal to manufacture motherboards could ultimately lead to its complete withdrawal from the personal computer market, although the PC division still brings the lion's share of Intel's revenue.
Brian Krzanich is the new CEO of Intel
On May 16, 2013, Brian Krzanich was elected the new CEO of the corporation. Paul Otellini resigned.
During this period, Intel has failed to gain a foothold in the rapidly growing mobile market amid strong competition from ARM and falling sales of personal computers.
The selection of a candidate from among their own managers indicates that the board is convinced of the fidelity of the current course. Judging by the fact that the choice fell on the 52-year-old director of operations with extensive experience in the production sector, the board of directors is pleased with the current state of affairs.
"Krzanich no doubt has a deep understanding of Intel's business and corporate culture," said Charles King, a Pund-IT analyst. - If someone was chosen from outside, it would mean that the corporation is interested in a good shake-up. But since Krzanich was chosen, this means that the board of directors only needs a minimum course correction. "
The selection of Krzanich also means that the Intel board of directors confirms the course towards further improving production technologies and accelerating the launch of new architectures. Now Intel is focused on introducing a new 14-nanometer process for making chips with three-gate transistors, which would allow the corporation to maintain a gap from other manufacturers lagging behind it in the "nanometer race."
According to Moorhead, if under the leadership of Krzanich Intel successfully copes with the promotion of new mobile architectures, the corporation will be able to gain influence in the mobile market and challenge ARM.
5 Planned Intel Innovations in 2013
Intel made a series of important announcements during the year of the annual CES consumer electronics show, which took place in early January 2013 in Las Vegas, USA.
Development and cheapening of sensor technologies
Kirk Skaugen, vice president and general manager of the Intel PC Client Group, said that touchscreen ultrabooks will arrive by the end of 2013 at a price of $599. Moreover, Intel made a statement that all ultrabooks that will run on the fourth generation of Core processors will have a touch screen. In general, absolutely all new ultrabooks produced later in 2013 will become such.
Increase battery life
According to Skaugen, the jump that Intel is preparing to make in terms of increasing the battery life of laptop computers is the largest in the company's history. So, the batteries of ultrabooks thanks to the new generation of Core processors will work up to 13 hours, and tablets - up to 10 hours. New devices of this type will cost $799 and $899, they will be released to the market later in 2013.
Advanced Identification Systems
New Intel systems will be equipped with better authentication systems, and therefore more secure. In particular, computers will use a facial recognition system based on webcams, so users will not need to manually enter a password. At the same time, the recognition system will read not only the unique geometry of faces, but also analyze the movement of muscles, so that no one can hack such protection using other people's photos and video images. The solution can be supplemented with a voice recognition system.
Less mouse movement
By the end of 2013, the computer mouse may lose the role of the number one axessur. Intel systems will use eye control, voice control and will be able to recognize individual movements of the user's hand, which will become an additional means of protecting computers. Such methods of entering information and commands will gradually replace the traditional mouse and keyboard.
Revolutionary TV technologies
At the end of 2013, Intel-based pay-TV provider Comcast will launch a new type of cable set-top box that can view TV and video content on demand from combined devices running Windows 8, so that the tablet and PC will be an addition to the TV (implementation of the multiscreen concept).
2012
ASML Holding Investment Plan of $4.1 Billion
In July 2012, Intel announced that it plans to invest several billion dollars in ASML Holding over the next 5 years to develop computer chip manufacturing tools.
The total investment will amount to $4.1 billion (3.3 billion euros), this money will go both to the purchase of shares above the named Dutch company, and to scientific research in the field of creating chips on 450 mm plates.
As stated in the official statement of Intel, the ultimate goal of the corporation is to reduce the production time of the necessary equipment by two years, which will lead to a significant reduction in costs and increase productivity for semiconductor vendors.
As part of the first phase, Intel will allocate ASML about $680 million for research and development of equipment for the production of 450-mm chips and will acquire about 10% of the company's shares for $2.1 billion. To implement the second phase, ASML shareholders will need approval, it involves providing Intel with an additional $340 million ASML for research and buying another 5% stake in the company for $1 billion.
Postponing the announcement of a chip for LTE at the end of 2012
Intel plans to release a chip with support for the LTE communication standard by the end of 2012, which was planned to be released at the end of 2011.
According to Intel Product Marketing Director Summit Syal, the company plans to increase the production of chips with support LTE starting in 2013.
Chips with support LTE were planned to be released back in 2011 specifically for the market. smartphones USA However, the released Medfield x86 Atom SoC chip does not have such a function. It is worth noting that a smartphone from 5 Apple iPhone in the United States works only in the standard. LTE
Sual also noted that the company is preparing a dual-core Medfield chip for release. The current architecture has only one core. However, the chip can support Hyper-Threading multitasking, which not all competing manufacturers have in dual-core chips. According to Sual, Intel wants to show that even with one core, the company's products are competitive, and dual-core chips can be more productive than other quad-core ones.
At the same time, Sual refused to talk about plans to produce quad-core chips for smartphones, citing the fact that the company did not disclose such plans.
TechCrunch attributes the stinginess of Intel's comments to the imminent announcement of its Q3 2012 financial results due out on October 16, 2012.
Intel to fight ARM for ultrabook segment
ARM and its processor partners, including Texas Instruments and, are Nvidia (Nvidia) targeting the thin and light laptop market. They intend to offer him productive and energy-efficient hardware platforms. Now she joined them and, at the Qualcomm end of March 2012, her senior vice president Rob Chandhok announced the ongoing work on creating a quad-core version of the Snapdragon S4 chip for laptops running. According Windows 8 to him, they will be lighter and thinner than ultrabooks on platforms Intel and surpass even the well-known Apple MacBook Air in these indicators.
Intel, in turn, is looking for ways to catch up and gain a foothold in the rapidly growing mobile market, in which ARM Holdings today holds a strong position. One of the attempts to achieve this difficult goal was the presentation at Computex in May 2011 of the concept of ultrabooks. It involves the creation of very thin, light and at the same time productive laptops. Ultrabooks are also characterized by features characteristic of tablets - a long lifetime from a single battery charge, constant stay in active mode, in some cases, a touch screen. At the same time, their cost should not exceed $1000 in order to maintain competitive positions against the background of the MacBook Air.
According to analysts, if ultrabooks are successful in the market, Intel will kill two birds at once. The company will be able not only to strengthen its position in the mobile segment, but also to increase sales of mobile PCs. Over the past few quarters, they have seriously sagged due to the growing popularity of tablets.
However, the question remains whether assemblers will be able to offer low enough prices for ultrabooks to make them more attractive than MacBook Air or even tablets. The first models cost $800 or a little cheaper, but now there are many offers for $1000 or higher. Actually, the products presented at the moment do not fully meet the initial definition of the concept of the ultrabook made by Intel.
Apple will overtake Intel in the supply of mobile processors
Infoworld, citing data from the still unpublished In-Stat report, reports that Apple could become the world's largest supplier of mobile processors by the end of 2012. While the company ranks second after Intel.
The reasons lie on the surface - the incredible popularity of Apple smartphones and tablets amid a slowdown in the PC market. The latter traditionally remains the patrimony of Intel, but last year the volume of sold PCs increased by less than 2%. According to In-Stat, in 2011 Intel shipped 181 million processors for mobile devices (mainly laptops) and took a market share of 13.9%, Apple - 176 million with a market share of 13.5%. "The gap is minimal, and Apple has every chance to overcome it," said Jim McGregor, chief technology strategist at In-Stat.
When creating A4, A5 and A5X processors for the iPhone and iPad, Apple uses the private information of its own research centers or, in other words, acts as a brain supplier for Samsung's production facilities, at least in a number of cases. Intel also has processors for smartphones and tablets, in particular the Atom Z2460, codenamed Medfield. If they can find a way to developers of ready-made devices, Intel can count on a sharp increase in its market share.
The first smartphone based on Intel Atom will be Lenovo K800, its sales will begin in the second quarter through the network of the operator China Unicom. Of the distinctive features, it is worth noting the 4.5-inch display, Android OS and support for 4G-technology Evolved High-Speed Packet Access (HSPA +). It is also known about Intel's agreements with Motorola, ZTE and Orange - no doubt very large, but by no means key players in the segment of smartphones and, moreover, tablets.
There are rumors that Apple, in response to Intel's persistent attempts to penetrate its new segment of smartphones and tablets, may abandon the use of its processors in its own laptops and give preference to the ARM architecture.
2011
Agreement with Lenovo on the release of smartphones based on Atom processors
Intel announced a deal with Lenovo and Motorola Mobility, which will use an Atom processor codenamed Medfield in new smartphones.
According to Intel CEO Paul Otellini, the Lenovo K800 device will be the first smartphone labeled Intel Inside. It will be available in China in the second quarter with the participation of China Unicom. China is the fastest growing market for mobile devices and already there are more than 950 million smartphone users.
"We have not yet said our last word on the smartphone market," Otellini said in a telephone interview with Computerworld.
Otellini also pinned his hopes on Infineon, which Intel had acquired earlier. It will help Intel to step up in the smartphone component market. Infineon chips work in 400 million phones, and the company intends to integrate radio into Atom chips. Most of the chips of this model are now used in netbooks, but this market has been seriously affected by competition with tablets. The Medfield chip will also be used in tablets starting in 2012. Intel plans to revive the PC market with ultrabooks - they are thinner and lighter than laptops, consume less power.
Ultrabooks equipped with modern Intel processors codenamed Sandy Bridge are already available from Acer, Asus, Toshiba and Hewlett-Packard. The next line of ultrabooks will go on sale in late 2012 with processors based on the new Ivy Bridge microarchitecture. They will be manufactured using 22nm technology. The new chips will provide computers with increased performance and reduced energy consumption.
Another product awaiting announcement is the Xeon E5 server processor, code designation Romley. The release of servers with E5 will begin this and next quarter, Otellini said. The CEO noted that although the demand for Romley is strong, it will not lead the processor replacement cycle, since this architecture (codenamed Nehalem) was developed in 2009.
In a statement, the Intel CEO made it clear that the company is meeting the global growth opportunities provided by security systems, ultrabooks, data centers and the release of smartphones and tablets under the Intel brand name.
Sandy Bridge Processor Release
In early 2011, Intel announced the release of processors with Sandy Bridge architecture, which will be sold as "second generation Intel Core processors" (the first generation was introduced exactly a year ago). The main innovation in the new chips was wider support for multimedia, including the graphics core, which this time is integrated into one crystal along with the main cores, and not into a separate one - a solution similar to Fusion processors, which AMD began shipping at the end of 2010.
Intel Processor-Based Smartphone and Tablet Roadmap
The company has been promising to release smartphones based on its processors for several years and in 2011, it finally plans to fulfill this promise, Otellini said. Along with entering the smartphone market by the end of 2011, the vendor plans to strengthen in the tablet market. Both there and there, the company will have to compete with ARM Holdings. They intend to succeed, according to the head of Intel, by further reducing the power consumption of their processors.
The company also believes that the advantage of their solutions is the ability to choose an operating system: Android, MeeGo or Windows - all of which are supported by its architecture (x86).
2009: Rearrangement of Company Structure: Emphasis on X86 Architecture
In September 2009, there were changes in Intel's structure to focus business around X86 architecture and production assets. All major Intel groups are merged into the Intel Architecture Group (IAG), led by Vice Presidents Sean Maloney and Dadi Perlmutter. Maloney is responsible for business and operations, Perlmatter for product development and architecture. They are accountable to all divisions, one way or another related to the x86 architecture.
Technology and Manufacturing Group (TMG) is led by Intel Executive Vice President and CEO Andy Bryant.
In addition to the departments for the development of microarchitectures, processors, chipsets, SOC ("systems on a chip") and wireless solutions, led by Steve Pawlowski, Sunil Shenoy, Roni Friedman, Rob Crooke and Raviv Melamed (Raiv Probe), Melamag created six new divisions
- The first group is PC Client Group (mobile and desktop systems, head - Mooly Eden).
- The second group is the Data Center Group (servers, cloud computing, computer networks and high-performance computing systems, headed by Kirk Skaugen).
- The third division is Visual Computing Group (virtualization, Jim Johnson).
- The fourth division, Ultra Mobility Group, will focus on introducing Intel microarchitecture into mobile devices, headed by Anand Chandraseker.
- The fifth group is Embedded and Communications Group, headed by Doug Davis.
- The sixth group is Digital Home Group, Eric Kim remains the head.
The duties of Sean Maloney, formerly vice president of marketing, after his transfer to IAG were taken over by Tom Kilroy.
2008: Intel controls 75% of the microprocessor market
Intel is the world's largest microprocessor manufacturer, occupying 75% of this market in 2008. The main buyers of the company's products are manufacturers of personal computers Dell and Hewlett-Packard.
1990s: Largest PC component supplier
In the 1990s, the company became the largest manufacturer of accessories for home personal computers. The Pentium and Celeron processor series have long been the most common.
Intel has made a huge contribution to the development of computer technology. Suffice it to say that the specifications for all ports, buses, command systems were written by Intel or companies working with it. For example, such a type of memory as DDR became known for it (rather, contrary to), although for a long time the company promoted another type of memory - RAMBUS RAM (RDRAM).
1989: Production launch in Irish Leixlip
Since 1989, Intel has been producing modern solutions at its Leixlip (Ireland) manufacturing sites.
1987: Intel 8086 Launch Starts
Since its launch on June 8, 1987, the Intel 8086 microprocessors have become the basis for the first personal computers IBM and literally changed our world. Through discipline, creativity and Moore's Law Intel following, she continued to develop innovation and, with each new generation of processors, introduce new improvements to the instruction set architecture. x86 Intel technology has enabled the company to achieve true commercial success.
1971: Order from Japanese Busicom, developed by Intel 4004
Success came to the company in 1971, when Intel began cooperation with the Japanese company Busicom. Intel received an order for twelve specialized chips, but at the suggestion of engineer Ted Hoffa, the company developed one universal Intel 4004 microprocessor. The performance of this processor was comparable to the performance of the most powerful computers of that time. Intel 8008 was developed next.
1969: Opening an office in Brussels
To Europe Intel He has been active for more than 30 years - her first office in Brussels, opened in 1969.
1968: Founding the company, venture capital investments
The company was founded by Robert Noyce and Gordon Moore in 1968 after leaving Fairchild Semiconductor. They were soon joined by Andy Grove. After much thought, the founders called Intel (from the words "integrated electronics"). When unknown people Bob Noys and Gordon Moore wanted to name their own IT company Moore Noyce, but by that time there was already a chain of hotels with this name. So they decided to dwell on the cut from INTegrated ELectronics.
The company's business plan was printed on typewriter by Robert Noyce and took only one page. Introducing it to the financier who previously helped create Fairchild Semiconductor, Intel received venture capital investments 2.5 million. dollars
See also
Notes
- ↑ Nvidia to join Dow Jones Industrial Average, replacing rival chipmaker Intel
- ↑ A message from Intel CEO Pat Gelsinger to employees regarding the next phase of Intel's transformation
- ↑ A message from Intel CEO Pat Gelsinger to employees regarding the next phase of Intel's transformation
- ↑ Intel’s CHIPS Act fund delayed by officials — Washington reportedly wants more information before disbursing billions of dollars
- ↑ Chipmaker Intel to halt $25-billion Israel plant, news website says
- ↑ Intel hit with $400 million EU antitrust fine in decades-old case
- ↑ EU court annuls €1 billion Intel antitrust fine
- ↑ Intel to invest up to $100 billion in Ohio chip plants
- ↑ Intel apologises in China over Xinjiang supplier statement
- ↑ Intel to invest $7 billion in new plant in Malaysia, creating 9,000 jobs
- ↑ Intel Restructuring: Navin Shenoy Out; New Software, GPU Units
- ↑ Intel Told to Pay $2.18 Billion After Losing Patent Trial
- ↑ CINDE announces: Intel invests US$350 million in Latin America
- ↑ Intel NDA blueprints – 20GB of source code, schematics, specs, docs – spill onto web from partners-only vault
- ↑ Intel ends Unisoc deal so it can work directly with Chinese OEMs
- ↑ Intel prepared to invest $8bn in new Leixlip development
- ↑ Intel to get $1 billion state grant for $11 billion Israel chip plant expansion
- ↑ Intel prepares to expand manufacturing in Israel as part of global plan
- ↑ Intel Elects Two New Members to Board of Directors
- ↑ Intel races to put autonomous cars on streets with new driving group
- ↑ Intel Licenses ARM Technology to Boost Foundry Business
- ↑ Intel Links Up With China in Server-Chip Venture
- ↑ Intel helped Amazon Web Services become a monster, and it could end up backfiring
- ↑ Intel to Merge Loss-Making Mobile Business With PC Division
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