Intel

Powerful Essays
Intel: Strategic Decisions in Locating a New Assembly and Testing Plan Intel was founded in Mountain View, CA in 1968 by Robert Noyce and Gordon Moore, two physicists who worked at a San Jose-based Fairchild Semiconductors. Intel, which stands for “Integrated Electronics”, began producing semiconductors.
Company timeline
1970 – Created the first commercially available dynamic random access memory (DRAM) chip
1971 – Produced the first commercially available microprocessor, moved their HQ to Santa Clara, CA and went public raising $6.8 million.
1972 – Opened an assembly plant in Malaysia, their first operations outside the US
1979 – Andy Grove, who had been with the company since its founding, was named president
1983 – The company recorded $1 billion in annual revenue
1987 – Andy Grove named CEO
1991 – Debuted the famous “Intel Inside” marketing campaign
1997 – Andy Grove steps down as CEO. Under Grove the company’s revenue grew more than sevenfold and the stock appreciated more than 1,600%
1998 – Craig Barrett named CEO
2003 – Transitioned from manufacturing 200mm to 300mm wafers
2005 – Barrett becomes Chairman of the Board and Paul Ottelini named CEO
By 2005 Intel had become the largest semiconductor manufacturer in the world supplying about 80% of the central processing units (CPU’s) used in PC’s, workstations and servers which accounted for 90% of the company’s revenue. By 2005, the semiconductor industry generated approximately $226 billion in revenue worldwide and was expected to hit $300 billion by 2008. Dell (19% of total revenue) and Hewlett-Packard (16%) were Intel’s largest customers. Intel’s competitive advantage consists on introducing faster and better microchips with its high-paced innovation making the competition perpetually one step behind their technology.
Microprocessor manufacturing There are 2 types of plants used in the manufacturing of microprocessors - Fabrication Plants (aka “fabs”) and Assembly and Testing (AT) plants. Much of the

You May Also Find These Documents Helpful

  • Good Essays

    intel

    • 802 Words
    • 3 Pages

    overtime pay, recognition rewards and so on. Intel management and Compensation Committee emphasis that compensation is an important tool that helps in recruiting, retaining, and motivating the employees for the current or future success of the company. The Intel management and the committee also believe that the proportion of ar-risk, performance-based compensation should arise as the level of employee’s responsibility increase as well. Intel has long implicated a number of methods that reflect…

    • 802 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Intel

    • 4677 Words
    • 19 Pages

    H.E BUTT GROCERY COMPANY The New Digital Strategy ; A Leader in ECR Implementation SITUATIONAL STATEMENT In the year 2000, the internet was emerging as a new distribution channel that would transform the grocery industry by providing a powerful communications network for the direct sale of groceries to the consumer. The internet was also a promising tool for the way that business to business transactions would take place. There were new opportunities to gain efficiencies in the supply chain…

    • 4677 Words
    • 19 Pages
    Good Essays
  • Powerful Essays

    X86 and Intel

    • 10373 Words
    • 42 Pages

    BRAND MANAGEMENT Case No. 1 INTEL: BUILDING A TECHNOLOGY BRAND INTRODUCTION Intel’s corporate branding strategy, which many credit for the company’s unparalleled success in the microprocessor industry during the 1990s, stemmed from a court decision. On March 1, 1991, District Judge William Ingram ruled that the “386” designation used by Intel for its microprocessor family was a generic description and could not be trademarked. Intel had been confident that the judge would rule in its favor…

    • 10373 Words
    • 42 Pages
    Powerful Essays
  • Good Essays

    Intel Corporation

    • 478 Words
    • 2 Pages

    About Intel Corporation: Intel Corporation is the biggest semiconductor and manufacturer in the world and changes the global marketplace radically. The Intel Corporation was founded and incorporated by Moore and Robert Noyce on 1968. The first PC (personal computer) were developed though the innovation of Intel Microprocessors. Being the pioneer of the microprocessor market had its advantages. The microprocessor market was a relatively new one, and barriers to market entry helped Intel become a…

    • 478 Words
    • 2 Pages
    Good Essays
  • Good Essays

    History of Intel

    • 842 Words
    • 4 Pages

    Intel in the DRAM business Intel‘s first two products were introduced in 1969: two semiconductors, but neither product was a commercial success. These two semiconductors were called SRAM - the 3101 (a 64-bit bipolar static random access memory, or SRAM and the 1101 (a 256-bit MOS - metal oxide semiconductor - SRAM In 1971 Intel introduced a new semiconcuctor, (the 1103, a 1-kilobite DRAM (dynamic random access memory) chip which became in the following year the world‘s best sellig semiconductor…

    • 842 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Intel Case

    • 610 Words
    • 3 Pages

    semiconductor product. Intel’s strategy was to come up with revolutionary product design and to be first to market with innovative devices. This strategy required enormous investments in process technology and manufacturing equipment. Between 1974-1984, Intel started losing market share to Japanese competition. This lost in market share can be attributed to several reasons. The first would be the fact that patents were not easily enforceable for DRAMS. Additionally the Japanese competitors have invested…

    • 610 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Intel Analysis

    • 1931 Words
    • 7 Pages

    analysis of a publicly traded company, Intel Corporation. A discussion about the financial health of Intel has the ultimate goal of making recommendations to other investors. Horizontal analysis facilitates the required data for calculating certain ratios. In addition, this paper reports the negative and positive trends seen in Intel’s financial history as well as calculates the current ratio, quick ratio and cash to current liabilities ratio. Company Overview Intel Corporation, located in Santa Clara…

    • 1931 Words
    • 7 Pages
    Powerful Essays
  • Satisfactory Essays

    Intel Case

    • 585 Words
    • 3 Pages

    201147507 Chinthaka Uduwage Intel Corp. 1968-2003 • How would you explain Intel’s initial dominance and subsequent decline in DRAMS? Intel was successful at the beginning because of their “Goldlocks strategy”, which they focused on mass production and something that competitors cannot copy easily. Because of this approach Intel was able to produce 1103, world’s first 1 kilobit DRAM. The 1103 was more cost effective to build, smaller and better in performance. The 1103 DRAM was able to replace…

    • 585 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Monopoly of Intel

    • 5305 Words
    • 22 Pages

    Project Report MONOPOLY INTEL CORPORATION SUBMITTED BY: ANKIT MITTAL GSMS BATCH 2010-2012 MONOPOLY What is Monopoly? The term monopoly means an absolute power of a firm to produce and sell a product that has no close substitute. In other words, a monopolized market is one in which there is only one seller of a product having no close substitute. The cross elasticity of demand for a monopoly product is either zero or negative. In other words, a monopolized industry is a single – firm industry…

    • 5305 Words
    • 22 Pages
    Powerful Essays
  • Satisfactory Essays

    Intel Analysis

    • 569 Words
    • 5 Pages

    overview:  Founded by Robert Noyce and Gordon Moore in 1968.  Largest semiconductor chip manufacturer in the world.  Manufacturing plants found all over the world. COMPETITORS: Motorolla AMD SUPPLIERS: Equipment(d ual/soul) INTEL SUBSTITUTES: RISC CHANN EL: Lisensee s IBM CUSTOMERS: IBM Compaq Dell Packard Bell COLLABORATORS: Providers Software Application END USER Bargaining power of suppliers  Abundance of suppliers  Invest in own…

    • 569 Words
    • 5 Pages
    Satisfactory Essays