Intel Got Hit In Both Mobile And Pc Market

Intel is in an unfavorable situation

Intel is in an unfavorable situation. It is not only difficult in the mobile market. It is even facing challenges in the PC market in which it has been dominant.

Due to trapped by the stagnant PC market, Intel is called the "outdated dinosaur." After failed in the rapid growing smart phones and tablet PC marke, the company has already got hit into a negative situation. On the one hand, this chip giant must challenge many dominant competitors in the mobile device market.

On the other hand, Microsoft recently decided to allow the Windows operating system compatible with processors with the ARM architecture. These competitors have begun to covet Intel's PC chip market which occupies 80% share, leading the company must be against the attacks of these companies in their own areas of strength.

The analyst thinks that it will take a few years of time if Intel wants to develop a competitive mobile chip. It is the same if its competitors would like to hold its ground in the PC market. At that time, the chip industry will inevitably experience a war. 2013 and 2014 will be the key period of this war.

As the world's largest chip maker and third largest company in Silicon Valley, Intel has had many challenges. But Intel is still dominating the PC microprocessor market and the profits in recent quarters also cracked record.

Intel believes that many consumers are still willing to buy desktops and laptops, especially in China, India and Brazil. However, in the context of the surging sales of smart phones and tablet PCs, major market research companies expect that the PC sales growth will slow down. Even the world's largest PC maker Hewlett-Packard is considering splitting the PC business.

While Intel tried to expand the PC market years ago and entered the smart phone and tablet PC market, but it made little progress. The main reason is the company's chip power consumption is too high, shortening the battery life of small electronic devices.

The vast majority of chips of smart phones and tablet PCs are produced by Apple, Qualcomm and Samsung and other companies. The technologies are from ARM. As can be compatible with Microsoft's next operating system Windows 8, ARM camp will for the first time to enter the PC market. It is predicted that by 2015, the market share of ARM chip makers in the PC microprocessor will increase from zero to 15%.

by: Amanda Xia

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