The Unofficial Intel Blog

Poking the beehive with a stick

Tuesday, March 07, 2006

First things first

What would you do if you had a few billion in the bank, 80-90% market share and margins greater than 50% on your products? What if your revenue was something like $30-$40 Billion annually? And then imagine that some other company started eating your lunch.

First they started by selling the equivalent of Jolt cola to the gamers who bought your hi-end processors, stuff with just a bit more caffeine than the processors that you were making. On top of this, they sold them cheaper. Word got around. Those nerds don't buy your product like they used to.

Ouch, but not so big an ouch as you were still locked in to the business market where IT (or if you really want to expand your empire - ISTG) guys never got fired for buying your product. On top of that add some creative "incentives" for OEM's to use your product (more on that another day). But things change. Unemployed gamers end up in IT eventually - and even can be found in finance and other areas. Suddenly, you don't get fired for buying AMD. Suddenly those guys are thinking how they are going to upgrade their servers next time...

So, as CEO of this company what should be the first step? Why am I bothering to ask - It is obvious! NEW LOGO! That will solve it. Hire a guy like Eric Kim and tell him - I want to remake my company! I want NEW LOGO! I want NEW BRAND! The other guy is beating me because my logo is old. My stock is dropping because my 'e' is dropped! FIX THIS! SAMSUNG ME! And so Eric, being a good boy takes a $Billion or so (estimates vary) and buys a little hoop to go around the logo. Note to Eric, next time you can go here and get it done cheaper:

While you are at it, cut the corner off the new business cards. That will give the marketing guys a BIG edge. This is all about new! Turn RIGHT now!

There. That should fix it.

dum de dum de dum ... time passes.

Ring ring ring
[Urgent call from Andy Bryant]
"Uh, Paul..."


"We have a little problem..."


At March 07, 2006 6:13 PM, Blogger Posty said...

Nice start. Keep it up!

While we're at it, what's up with the Skype deal? We artificially limited 10-way calling through Skype to Intel processors, I suppose to give the impression that AMD processors can't handle that load.

Well, guess what. A few days later, an enterprising individual created a tiny patch that removes the restriction. Poof. Now everyone (AMD users included) can use 10-way calling.

This kind of shameful behavior brings back memories of Microsoft at its most monopolistic, and it's the kind of ammo the AMD lawyers will welcome with open arms. We are we doing them favors? The higher ups should have a long talk with whoever came up with this genius idea.

At March 07, 2006 6:39 PM, Blogger Posty said...

Here's another sign that we're missing the bus regarding new technologies.

Check out the sponsor list for the O'Reilly Emerging Technology Conference. You can find IBM, Microsoft, Google, even a Mexican newspaper. Guess who's missing?

At March 08, 2006 9:51 AM, Blogger PentrinoVI said...

Thanks Posty. The Skype thing IS shameful. Intel should do the right thing (doesn't it say that on the back of the badge?) and not try to get into these sorts of artificial restrictions.

The embarrassing thing is that it is done so clumsily. Any engineer can just look at it think "some kid is going to hack this and then we look dumb". If calling is restricted in the name of improving the "consumer experience", then tell the consumer it works best with Core Duo and SHOW THEM that it does.


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