Changing game: Intel faces challenge to its dominance in microprocessors; its main chip gets cloned, and an industry alliance bolsters rival technology; many resent leader's ways
Article Abstract:
Intel Corp faces an uncertain future. On Apr 9, 1991, two of its former allies, Microsoft Corp and Compaq, will join 20 other companies planning software that will run on computers using chips designed by Mips Computer Systems as well as systems using Intel chips. Only a month previously, Advanced Micro Devices Inc began shipping clones of Intel's 80386 microprocessor. To complicate matters, both Intel's competitors and customers are complaining about what they see as Intel's exploitation of a monopoly, accusing Intel of price gouging and unfair competition. One analyst says that animosity among Intel's customers could be Intel's most important risk. Intel is responding to all of this with an investment strategy: up to $1 billion will be spent on plants and equipment to slash production costs and improve products; $600 million will go for research and development. Intel hopes to cut by half the three and a half years that is currently needed to design a new chip. Intel is also refocusing its design strategy on its popular 80x86 line of microprocessors.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1991
User Contributions:
Comment about this article or add new information about this topic:
How IBM's heirs plan to expand empires in computer industry; Microsoft and Intel prepare technologies to move beyond PC conquests
Article Abstract:
IBM is being supplanted as the leader of the computer industry by Microsoft Corp and Intel Corp, two companies that IBM nurtured. Both companies are developing new technologies that are likely to be standards for years to come. Microsoft's forthcoming Windows NT software, an elaboration of the hugely popular Windows program, and Intel's Pentium microprocessor, which will be about twice as fast as currently available Intel chips, are products meant to consolidate their makers' domination in the microcomputer market. Both companies got their big break in the early 1980s, when IBM selected them as key technology suppliers for its personal computer. Powerful microcomputers powered by the Pentium and Windows NT might take business away from such workstation vendors as Sun Microsystems Inc and HP, while Windows NT poses a severe threat to the Unix operating system and Novell Inc's network operating system.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1992
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Shares of Intel and Microsoft fall sharply: software firm's warnings, chip maker's earnings shake hot tech sector
- Abstracts: Chip's memory is here today, here tomorrow. U.S. Memories venture spurned by Unisys and Sun Microsystems; project on memory chips needs to lure investors soon to fight Japanese
- Abstracts: U.S. Memories venture spurned by Unisys and Sun Microsystems; project on memory chips needs to lure investors soon to fight Japanese
- Abstracts: Electronic edge; how U.S. firms passed Japan in race to create advanced television; switch to digital technology for high-definition sets abruptly changed game; a look at Zenith's strategy
- Abstracts: IBM expected to unveil plan to cut costs; program may include offer for early retirement and some plant closings