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Intel Fights for Its Future

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Re: Intel Fights for Its Future

#31

Post by ryanwaggoner »

sah2ed wrote: post #27
ternaryoperator wrote: post #4

This article makes it seem that being a major player in mobile is the only way Intel could survive. Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. This is not a company "fighting for its future."

> Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. No, it is not decelerating, it's still growing [0]. Besides, demand from other low-power applications such as IoT will only lead to increased demand for low-power (mobile) chips. > In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. Thi…

Decelerating != declining. The claim is that the growth is slowing, not that it's not growing anymore.

Re: Intel Fights for Its Future

#32

Post by igravious »

sah2ed wrote: post #27
ternaryoperator wrote: post #4

This article makes it seem that being a major player in mobile is the only way Intel could survive. Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. This is not a company "fighting for its future."

> Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. No, it is not decelerating, it's still growing [0]. Besides, demand from other low-power applications such as IoT will only lead to increased demand for low-power (mobile) chips. > In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. Thi…

You make very good points except I think you are confused by what decelerating means. A market may be growing and at the same time be decelerating, as in it is growing albeit at a slower rate of growth each year or quarter.

Re: Intel Fights for Its Future

#33

Post by virgilp »

sah2ed wrote: post #27
ternaryoperator wrote: post #4

This article makes it seem that being a major player in mobile is the only way Intel could survive. Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. This is not a company "fighting for its future."

> Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. No, it is not decelerating, it's still growing [0]. Besides, demand from other low-power applications such as IoT will only lead to increased demand for low-power (mobile) chips. > In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. Thi…

That's a misleading chart, since it shows "cummulative sales". Here, complete numbers: http://communities-dominate.blogs.com/brands/2018/02/smartph...

You can see, total market grew by less than 200M as opposed to more than 500M last year. Definitely "decelerating".

Re: Intel Fights for Its Future

#34

Post by melling »

ttul wrote: post #14
ternaryoperator wrote: post #4

This article makes it seem that being a major player in mobile is the only way Intel could survive. Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. This is not a company "fighting for its future."

Yes. I must say I chuckled a bit when I saw the headline. Intel is still churning out 63% gross margins. On semiconductors. That is exceptional. Intel is not fighting for its life by any stretch of the imagination.

Intel is fine as long as ARM doesn’t compete in their core markets. Then it’s a sudden and violent change.

I guess you don’t see ARM attaining parity with x86?

Re: Intel Fights for Its Future

#35

Post by oblio »

hawkice wrote: post #30
oblio wrote: post #19

Earlier quoted context omitted.

To leverage their synergies.

To be fair, that is the response to all 'Why is X acquiring Y?' questions, and it's a terrible answer. M&A is hard to do right -- most fail, and a staggering percent have all the surplus delivered to the seller instead of the buyer. See: https://www.mckinsey.com/business-functions/strategy-and-cor... The real answer would speak to why (Intel thinks) this deal is not like the average, unsuccessful deal, and specifical…

It was just a joke, based on the usual wooden speak of these announcements.

I don't know which acquisition is better. I do think that Intel should probably enter the ARM, somehow, just to hedge their bets.

Re: Intel Fights for Its Future

#36

Post by sspiff »

sah2ed wrote: post #27
ternaryoperator wrote: post #4

This article makes it seem that being a major player in mobile is the only way Intel could survive. Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. This is not a company "fighting for its future."

> Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. No, it is not decelerating, it's still growing [0]. Besides, demand from other low-power applications such as IoT will only lead to increased demand for low-power (mobile) chips. > In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. Thi…

Decelerating doesn't mean that it's no longer growing. It means that growth is declining over time, so growth today is less rapid than growth a year ago.

That doesn't mean that growth will stop, though it might.

Re: Intel Fights for Its Future

#37

Post by sah2ed »

virgilp wrote: post #33
sah2ed wrote: post #27

Earlier quoted context omitted.

> Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. No, it is not decelerating, it's still growing [0]. Besides, demand from other low-power applications such as IoT will only lead to increased demand for low-power (mobile) chips. > In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. Thi…

That's a misleading chart, since it shows "cummulative sales". Here, complete numbers: http://communities-dominate.blogs.com/brands/2018/02/smartph... You can see, total market grew by less than 200M as opposed to more than 500M last year. Definitely "decelerating".

You make a fair point and I'll concede my error in equating deceleration with decline. But I think most of my points still stand.

Re: Intel Fights for Its Future

#38

Post by IshKebab »

aleem wrote: post #18
ternaryoperator wrote: post #4

This article makes it seem that being a major player in mobile is the only way Intel could survive. Mobile is a decelerating market, while cloud and servers, where Intel has a huge lead is an expanding market and profitable. In 2017, Intel's revenue hit an all-time high, as it did the year before, and its stock is an all time high. This is not a company "fighting for its future."

The headline is definitely sensationalist but there are threats and missed opportunities on Intel's horizon and past. The lure of mobile is the upgrade cycle as those are much shorter. The same, short upgrade cycles were a boon for intel in the hey day of desktops/laptops. The bigger threat the article fails to focus on is ARM. Singularity for apps has always hinged on write-once-run-everywhere. Intel hasn't been abl…

Yeah but the upgrade cycle won't stay short for long, just like it hasn't for desktops.

Give it 10 years and people will be keeping their phones until they break.

Also anyone can make an ARM CPU so the margins are thin, whereas with x86 CPUs Intel will basically only ever have one competitor - AMD. They want to find another monopoly.

Re: Intel Fights for Its Future

#39

Post by [deleted] »

melling wrote: post #34
ttul wrote: post #14

Earlier quoted context omitted.

Yes. I must say I chuckled a bit when I saw the headline. Intel is still churning out 63% gross margins. On semiconductors. That is exceptional. Intel is not fighting for its life by any stretch of the imagination.

Intel is fine as long as ARM doesn’t compete in their core markets. Then it’s a sudden and violent change. I guess you don’t see ARM attaining parity with x86?

[deleted]

Re: Intel Fights for Its Future

#40

Post by goblins »

IshKebab wrote: post #38
aleem wrote: post #18

Earlier quoted context omitted.

The headline is definitely sensationalist but there are threats and missed opportunities on Intel's horizon and past. The lure of mobile is the upgrade cycle as those are much shorter. The same, short upgrade cycles were a boon for intel in the hey day of desktops/laptops. The bigger threat the article fails to focus on is ARM. Singularity for apps has always hinged on write-once-run-everywhere. Intel hasn't been abl…

Yeah but the upgrade cycle won't stay short for long, just like it hasn't for desktops. Give it 10 years and people will be keeping their phones until they break. Also anyone can make an ARM CPU so the margins are thin, whereas with x86 CPUs Intel will basically only ever have one competitor - AMD. They want to find another monopoly.

>Give it 10 years and people will be keeping their phones until they break.

That's basically me right now, still have my trusty sgs2 running lineageOS and will continue to have it till it breaks

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