Intel CEO gives up chasing market share

Stefan Mileschin · 23rd December 2019, 08:35

Analysis: CTO mindset

There was a lot of discussion about Intel’s CEO's recent presentation at the Credit Suisse technology conference. Bob Swan commented that he is willing to give up the 90 percent mark share mindset. He would instead get 30 percent of all silicon market valued at $288 TAM.

While the large number, such as 90 percent of market share, looks suitable to investors, not all markets are worth perusing.

Bob Swan, Intel’s CEO, who used to be a Chief financial officer, is getting Intel back on the track. It is hard not to mention that we were right that Bob will be the new CEO, months before everyone else. What is crucial in the semiconductor industry is making money out of the silicon. In other words, it is financially much better to sell a single Core i5 than dozen if not hundreds of low-cost IoT chips, as the margins are better. Since Intel has FABs, getting them on track is one of the critical targets.
https://fudzilla.com/news/pc-hardwar...g-market-share

23rd December 2019, 08:35	#1
Stefan Mileschin [M] Reviewer Join Date: May 2010 Location: Romania Posts: 153,575	Intel CEO gives up chasing market share Analysis: CTO mindset There was a lot of discussion about Intel’s CEO's recent presentation at the Credit Suisse technology conference. Bob Swan commented that he is willing to give up the 90 percent mark share mindset. He would instead get 30 percent of all silicon market valued at $288 TAM. While the large number, such as 90 percent of market share, looks suitable to investors, not all markets are worth perusing. Bob Swan, Intel’s CEO, who used to be a Chief financial officer, is getting Intel back on the track. It is hard not to mention that we were right that Bob will be the new CEO, months before everyone else. What is crucial in the semiconductor industry is making money out of the silicon. In other words, it is financially much better to sell a single Core i5 than dozen if not hundreds of low-cost IoT chips, as the margins are better. Since Intel has FABs, getting them on track is one of the critical targets. https://fudzilla.com/news/pc-hardwar...g-market-share

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