The Business of Technology: Intel Q3 2007

by Ryan Smith on 10/30/2007 3:00 AM EST
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  • Pyramix - Wednesday, October 31, 2007 - link

    I think Intel benefits from the drop in the dollar value, since a lot of their revenue is overseas. But just how much does it benefit? And what's expected for the next quarter?
  • nigham - Wednesday, October 31, 2007 - link

    The numbers are close to impossible to read. A larger display on the main screen for both indices would be appreciated.
  • AnnonymousCoward - Tuesday, October 30, 2007 - link

    Intel is huge, and they drive the industry. It's like they've already won, 10 years ago, and there's little room to grow. Conroe is the holy grail of CPUs, and Intel also leads process technologies. It's depressing to see their layoff numbers. Their future regarding multi processors and Havok is very interesting. As for the business side of things, they're here to stay, huge and profitable.
  • DAE612 - Tuesday, October 30, 2007 - link

    I think the author is on track in terms of worries about growth, but a few points missing:
    * Emerging markets: If the middle class of India, China etc continues to grow at the current rate, there will be a new large and increasing market for Intel's products. (the article seemed to imply that there will be no new possible buyers).
    * AMD: The current debt situation and AMD's lag after Intel in terms of process technology is a possible upside only partly priced into the stock. What happens to Intel's margins if AMD goes down the drain ..
  • Ryan Smith - Tuesday, October 30, 2007 - link

    The problem with the emerging markets is that right now Intel isn't in a position to secure them. Both China in particular has a very protectionist policy, and while India isn't so severe, both countries also need processors cheaper than what Intel can do today. These are situations where to reach a large portion of the population, a computer needs to cost as little as a low-end E4 series chip in the first place.

    Intel doesn't have a chip that cheap yet. Their new x86 chips for mobile devices are their best bet (the codename escapes me at the moment), they're cheap to manufacture and use little power (great for places where such power can be irregular). But that's not going to be ready until later in 2008, and Intel would need to put together a whole prototype platform to fly the idea to potential ODMs.
  • sonoran - Friday, November 2, 2007 - link

    >>The problem with the emerging markets is that right now Intel isn't in a position to secure them. Both China in particular has a very protectionist policy

    You may want to note that Intel is currently building a large fab in China. No doubt that is for political, as well as economic, reasons.

    The low cost chip you refer to is Silverthorne. I believe it's primarily intended for the MID (Mobile Internet Device) market. But with processing power roughly equivalent to the original Centrino, it would do fine for web surfing and moderate home use. And it will be really cheap to produce.
  • npoe1 - Tuesday, October 30, 2007 - link

    I liked a lot your Creative’s article; this is a good one too. But I would like to see an IBM and a Software company different from Microsoft for one of this analysis.
  • Ryan Smith - Tuesday, October 30, 2007 - link

    We will likely cover those companies, but it won't be right away. There's no real need to cover most companies quarterly, when a yearly basis will do fine. For IBM their year is the calendar year, so we'd do something about them in Jan/Feb of 2008. For Microsoft it's a bit trickier, they're on a fiscal year that ends on June 31st, so we're already 4 months in to their new year.
  • Chaotic42 - Tuesday, October 30, 2007 - link

    Call me crazy, but I'd like to see articles on companies like Sun and SGI, technical companies that a lot of us don't hear about too often, but which still might be up to interesting things.

    Just a thought.
  • Iketh - Tuesday, October 30, 2007 - link

    agreed, im not looking forward to the AMD article at all... let's dive into something different
  • BladeVenom - Tuesday, October 30, 2007 - link

    Click on the Yahoo chart, then enter AMD, and compare.
  • BladeVenom - Tuesday, October 30, 2007 - link

    Or http://finance.yahoo.com/charts#chart1:symbol=intc...">Link
  • Dfere - Tuesday, October 30, 2007 - link

    Good Summary Article.

    I'm not sure if you have a description correct. I think "expected component" above as used in describing dividends are included in a pricing model as opposed to "required component" is more a appropriate economic term, unless "required component" is an actual economic term I have not been exposed to.

    On a devious note, is it merely coincidence that everyone has a computer about time Moores law seems to be breached? I think not. I see someone's hand in this.

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