Ruminations on the electronics industry from David Manners, Senior Components Editor on Electronics Weekly.
Shrewd Or Desperate?
Intel is adopting a ‘shrewd strategy’ in going for the low-cost smartphone market, says IHS.
Is it really ‘shrewd’ to go for the low-cost market if you can’t get into the high-cost market?
Or is it the only place for Intel to go?
Intel doesn’t usually choose to go for low-cost markets. The high cost of making its silicon has historically inclined it towards high-cost markets.
But, as IHS says, Intel has a ‘currently minimal share’ in the phone industry and a ‘negligible share of the global smartphone applications processor market.’
So Intel ‘has no place to go but up’ says IHS, generously putting the best possible gloss on things.
Some of these low-cost phones are made by small companies which might be receptive to Intel MDF.
And you don’t need a leading-edge performance processor if you’re going for the low-cost market which saves on the development budget.
So, is the low-cost focus ‘shrewd’ or desperate?Tags: development budget, edge performance, gloss, Intel, performance processor