Intel Announces Q1 2012 Earnings: Not a Record, but Close

Subject: Editorial | April 23, 2012 - 02:12 PM |
Tagged: trinity, Q1, Ivy Bridge, Intel, earnings, atom, arm, amd, 2012

Guess what? Intel made money. A lot of money. This is not surprising. The results were not record breaking, but they did beat expectations. Intel had a gross revenue of $12.9 billion for the quarter, with a net income of $2.7 billion. Gross margins decreased (slightly) to 64%, but the reasons for this are pretty logical as we discover down below. Compared to Q4 2011, results are still significantly down, but this is again expected due to seasonal downturns. In Q4 they had $13.9 billion in gross revenue and $3.4 billion in net income with a gross margin of 64.5%.

 
Currently Intel is showing inventory at near historic lows, and this is due to a variety of factors. The PC market has been growing slower than expected due to the hard drive shortage that started last fall. Intel has adjusted manufacturing downward to account for this, and has worked to ramp 22 nm products faster by cutting back 32n production and converting those 32 nm lines. Intel is very aggressive with Ivy Bridge, and it expects 25% of all shipments in Q2 to be 22nm products. This is probably the fastest and most aggressive ramp that Intel has ever done, and it will continue to put AMD in a hole with their 32 nm production.
 
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The second half of the year should see some significant growth on the PC side. The primary push will be the release of Windows 8 from Microsoft. This, combined with the near complete recovery of hard drive production, should push PC growth the record levels. Ultrabooks are an area that Intel is spending a lot of money to promote and develop with their partners. There are some 26 Ultrabook designs on record so far, and Intel expects this number to rise rapidly. The big push is to decline the overall price of Ultrabooks, as well as enabling touch functionality for a more affordable price. While not mentioned during the conference call, AMD is also pushing for ultra-thin notebooks, and once Trinity enabled products hit the street, we can expect a much more aggressive price war to be waged on these products.
 
Smart phones are another area that Intel is actively trying to expand into. This past quarter we saw the introduction of the Orange, Lava, and Lenovo phones based on the Medfield platform. So far these have been fairly well received by users and media alike, though the products have certainly had some teething issues. Intel still has a lot of work to do, but they finally realize the importance of this market. Intel expects that there will be 450 million smart phones shipped in 2012 (from all manufacturers), and that it is expected to grow up to 1 billion shipped a year by 2015/2016 (if not sooner). Intel wants to get into those phones, and is adjusting their Atom strategy to fit it. While in previous years Atom lagged behind other processor development from Intel, they are pushing it to the forefront. We can expect to see Atom based products being manufactured on 22 nm, and then aggressively pushed to 14 nm when that process node is available. Intel feels that they have a significant advantage in process technology that will directly impact their success in achieving higher rates of utilization across product lines in the mobile sector. If Intel can offer an Atom with similar performance and capabilities, tied with a significantly lower TDP, then they feel that a lot of phone manufacturers will look their way rather than use older/larger/more power hungry products from competitors.
 
Finally, Intel essentially has little interest in becoming a foundry for other partners. They are currently working with a handful of other countries to produce products for them, but I think that this might be a short term affair. Intel will either stay with a few partners to produce a low quantity of parts, or Intel will learn what they have to about producing products like FPGAs and eventually start producing chips of their own. When Intel fabs their own parts, they essentially get paid twice as compared to foundries or 3rd party semiconductor companies.
 
Intel continues to be profitable and successful. Ivy Bridge is going to be a very big product for Intel, and they are going to push it very hard through the rest of this year. Mobile strategies are coming to fruition and we see Intel getting their foot in the door with some major partners around the world. Servers, desktops, and notebook chips still comprise the vast majority of products that Intel ships, but mobile will become a much stronger player in the years to come. That is if Intel is able to execute effectively with accelerated Atom development on smaller process nodes. ARM is still a very worthy competitor, and a seemingly re-invigorated AMD could provide some better competition with Trinity and Brazos 2.0 in the notebook/tablet market.
 
Margins will be down next quarter due to the aggressive 22 nm ramp. With any new process there will be problems and certain inefficiencies at the beginning. As time passes, these issues will be resolved and throughput and yields will rise. Intel does expect a larger PC growth through the next quarter and a higher gross revenue. It will be interesting to see if Ultrabooks do in fact take off for Intel, or will competitors offer better price/performance for that particular market. Needless to say, things will not slow down through the rest of this year.
Source: Intel

Intel Medfield powered cellphone appears ... in the Orient

Subject: General Tech, Mobile | April 19, 2012 - 08:50 AM |
Tagged: atom, Medfield

The new Atom processor, named Medfield, has appeared in a market far, far away.  The chip powering Lava's Xolo X900 runs at 1.6GHz and supports hyperthreading, the graphics core is clocked at 400MHz which Intel believes should be enough to allow it to output 1080p video via its HDMI plug.  The power efficiency of the new architecture has yet to be tested but the claim by the manufacturer is eight hours of talk time and five hours of 3G web browsing.  There are no available benchmarks yet but you can get an idea of the overall capabilities of this phone at The Inquirer.

theinq_xolo.jpg

"Intel and Indian handset maker Lava announced their intention to ship an Atom smartphone at Mobile World Congress in January. However Lenovo's K800 received all the attention, so Lava's Xolo X900 slipped under the radar to become the first shipping smartphone to feature Intel's Medfield Atom processor."

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Source: The Inquirer

Intel Centerton; the next big thing in Micro Machines

Subject: General Tech | April 12, 2012 - 09:32 AM |
Tagged: microserver, Centerton, seamicro, atom, low power

Microservers are the newest old idea to hit the PR flacks, anyone who remembers the original blade servers already has a good idea what a microserver is.  Intel has once again tried to take ownership of a form factor, in this case defining what they feel the market should consider a microserver.  In some ways, the single socket design seems to run counter to current low power servers, which tend towards large arrays of low powered APUs but at the same time when you no longer have to worry about the interconnects between those APUs you can drop the price significantly.

AMD has had several forays into this market and while Intel has never put much effort into this segment vendors like Dell and HP have been creating microservers using an Intel processor for some time.  This heralds a change in Intel's strategy when taking on ARM and AMD in the server room, with the 6W Atom Centerton chip they announced at IDF.  The Inquirer was also told of 10W and 15W parts which would be more powerful although they could also require a bit more space than what the 6W part could survive in.  It seems that those looking for inexpensive servers which require very little infrastructure will have a lot of choices to spend their money on by the end of this year.

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"CHIPMAKER Intel dropped an Atom bomb on the second day of IDF in Beijing, announcing its 'Centerton' microserver chip that will draw just a miserly 6W of thermal design power (TDP).

It defines a microserver as a computer with one socket, error correction, 64-bit processing, and minimal memory and I/O. The Atom Centerton platform will have two cores, Hyperthreading and support for ECC DDR3 as well as VT-x virtualisation technology. Intel said the Atom Centerton chip will be available in the second half of this year."

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Source: The Inquirer

Snooping through Haswell's graphics code

Subject: General Tech | March 22, 2012 - 10:44 AM |
Tagged: valleyview, shark bay, PowerVR, Ivy Bridge, haswell GT3, haswell, atom

Phoronix has been investigating the open source driver code which was recently released, designed to power Intel's Haswell chips.  The news is not as good as some had hoped; there were rumours that a Gen8 Haswell GT3 IGP would appear in Haswell but according to the hardware IDs that were found in the code that is not going to be true.  Instead you are looking at refined Gen7 Haswell GT1 and GT2 IGPs and so will be an improvement over Ivy Bridge but not a completely new chip.  Check out the rest of the secrets revealed by the code here.

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"While Intel's Ivy Bridge launch is imminent, and I'm still digging through information concerning today's Intel Valleyview code drop that brings Ivy Bridge graphics to their next-generation Atom as they do away with PowerVR graphics for their SoCs, more graphics driver code to enable Haswell support has landed this evening."

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Source: Phoronix

Collision alert! ARM, AMD and Intel are all headed for the same market

Subject: General Tech | February 9, 2012 - 09:07 AM |
Tagged: arm, Intel, amd, atom, low power, cortex, Medfield, hondo

To revive an old buzzword some of you may have forgotten, ubiquitous computing is the current holy grail of the computing industry.  If AMD, Intel, ARM and to a lesser extent NVIDIA, can get the market to prefer one of their low power processors over the competitions there is a lot of money to be made in the mobile market.  The way that they are approaching the market is very different however.   In Intel's case they pride themselves on the general computation power of their upcoming Medfield processor though that comes at the cost of power consumption and less graphics capabilities.  AMD. like Intel, are trying to reduce the power consumption of their chips and though they lag behind in general CPU performance the graphics capabilities are generally considered superior.

Then there is ARM, which is striving to overcome its reputation of providing chips low in power, both electrically and computationally.  Their latest Cortex processors are certainly display a vast improvement in performance compared to previous generations.  The power consumption may have increased but not to the levels of consumption of the Intel and AMD chips.  Intel and AMD need to continue lowering their power consumption without sacrificing power while ARM needs to increase performance without impacting the power consumption before anyone can be considered a clear winner.  There is another consideration which DigiTimes points out; right now ARM is winning the price war which could be every bit as important as power consumption or computational power.

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"While Intel and AMD have been making efforts to develop low power processors for use in smartphones and tablet PCs, they cannot compete with solutions from ARM in terms of price, according to notebook makers."

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Source: DigiTimes

The SSD powered Oaktrail tablet from Kupa is a trooper

Subject: Mobile | January 26, 2012 - 12:47 PM |
Tagged: tablet, ssd, oaktrail, mobile, Kupa X11, atom Z670, atom

You might not expect to see a tablet being examined at the SSD Review, except for the Kupa X11 which contains a 64 or 128GB mSSD drive.  As the Atom and Oaktrail pairing are perhaps not the fastest mobile chips on the block, the initial testing tried to determine if that chipset would prove to be a bottleneck.  They tested the Kingspec 128GB SSD which was included in the tablet as well as a Renice X3 120GB ‘SandForce Driven’ SSD and a Kingston mS100 SSD.  The Kingspec was the slowest choice of the three and even though the other two did perform more impressively Oaktrail did indeed prove to limit the performance of the drives.  On the other hand, it is still faster than a HDD and the SSD helps to extend the life of this 1366 x 768 10.1″ tablet to around 10 hours.  Also worth noting is that this tablet runs Xin7 Professional, not a trimmed down OS, and will fully support Win8.

ssdr_kupa.jpg

"Just prior to CES we had received an e-mail from a reader who had spoken of a company called Kupa, a tablet manufacturer who, as the reader had stated, “wasn’t afraid to experiment outside the box”. it took us all of two seconds to get to the Kupa Website and discover the Kupa X11, a tablet PC with all the power of a full size computer to include a Intel Atom Z670 1.5Ghz Oaktrail platform, 2GB RAM and your choice of 64 or 128GB SSD. Needless to say, we were impressed."

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Source: SSD Review

Intel Releases New Cedar Trail Atom Processors

Subject: Processors | December 28, 2011 - 04:15 PM |
Tagged: pine trail, netbook, Intel, cedar trail, atom, 32nm

Intel has been pumping out quite a few new processors lately, with new Sandy Bridge-E CPUs, a new Sandy Bridge i7 2700K processor coming out, and now a new line of Atom CPUs sneaking in the news right before the new year!  Not to mention, they are also working on Ivy Bridge.

The new Atom CPUs are of the Cedar Trail variety and succeed the older Pine Trail-M Atom processors.  Currently, there are three Cedar Trail chips that will be available as soon as January in OEM systems including the N2600, N2800, and D2700 CPUs.  Further, the new chips are 32nm and have a 22x22mm package size.  These little chips are destined to power netbooks, tablets, embedded devices (think medical devices, ruggedized tablets, machinery).  Yes, Intel still believes in netbooks, and feels as though emerging markets will keep the market alive and growing as people want for cheap computers that are able to get them on the web.  While the netbook is losing popularity in the US, Intel expects the South American, Eastern European, and African markets to see great interest in the netbook platform.  Their netbook plans involve three price tiers with accompanying use cases including netbooks at $200 with minimal features and a price to match that enables people to access the web all the way to $400+ netbooks with lots of features that would fill out the market up to where the Ultrabook territory begins at around $900.

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The new Cedar Trail processors improve upon the previous gen Atom chips by quite a bit, according to Intel.  The graphics aspect in particular has been improved such that 1080p HD Youtube and HD Netflix streams are playable at at least 24 FPS.  Something that early netbooks using Intel's integrated graphics will never be able to do.  Intel further estimates a 50% lower TDP and a 28% processor performance increase over the Pine Trail chips.  Further, the new Cedar Trail chips have more cache at 2 x 512 L2 cache(s), higher clockspeeds, lower TDP, higher C-State (C6 vs C4E)/lower power usage in sleep mode, a 200MHz higher clocked graphics card (400MHz vs 200 MHz), and increased memory speeds (DDR3 800 and 1066 vs DDR3-667).  The fastest Nxx chip, the N2800 manages a .2GHz clock speed increase while also knocking off 2 watts from the TDP versus the previous top N570.

Needless to say, Cedar Trail is looking very good, on paper at least.  The individual chip specifications are listed below.

  CPU Clock Speed Graphics Clock Speed TDP
N2600 1.60 GHz 400 MHz 3.5 W
N2800 1.86 GHz 640 MHz 6.5 W
D2700 2.10 GHz 640 MHz 10 W

What are your thoughts on the new Cedar Trail chips, do you think they will provide enough "oomph" to make new netbooks desirable again?  Some more information can be found here and straight from Intel here.

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Atom cannibalizes our market! Move it to someone else’s!

Subject: General Tech, Processors | December 27, 2011 - 11:33 PM |
Tagged: intel atom, Intel, atom

Intel’s Atom processors were created as a tier below their Celeron product line. Netbooks, then running VIA Nano processors, have started to gain popularity since their introduction in late 2007. Intel’s Atom processors took the place of the VIA parts since that time. In 2009, Intel has stated that they have seen approximately twenty percent of their sales of notebook processors replaced with sales of their cheaper Atom processors. Intel still maintains the Atom processor line, but apparently with new goals in mind.

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Up and ATOM!!!

According to Digitimes, the demand for Intel’s Atom processors has declined recently. Intel, in response, decided to market that tier of parts to embedded and server customers for use in network-attached storage devices and very low-end servers. Intel is also rumored to have plans to shrink the process size of Atom in 2013 to 22nm and again shrink process size to 14nm in 2014. The upcoming 32nm Atom processor is expected by the second quarter of 2012.

Source: Digitimes

Two families of lower power Intel chips arriving soon

Subject: General Tech | November 30, 2011 - 09:24 AM |
Tagged: cedar trail m, atom, 32nm, sandybridge DT, Pentium 350, socket 1155

There are two very different families of low power chips from Intel; one of which is available now and the other will be shipping in December after a 2 month delay.  First off are the new Atom chips which DigiTimes mentions, both dual core 32nm Cedar Trail-M parts.  Neither chip represent any major changes to the Atom lineup apart from a die shrink which allows higher frequencies at lower power.  The original delay was reported to be because of issues with 64-bit support as well as DX10 support but there has been no definitive news either way about if those problems will exist on release.   The graphics core does jump from 400MHz to 640MHz which may help Atom compete with Llano but it is still not going to be a fair competition.

The Register reports on a completely different low power chip which may find its way into some server applications.  Don't let the name fool you, the Pentium 350 is a Sandy Bridge-DT chip based on the same core you find in the Xeon E3 chips that are already on the market.  They support Turbo Boost, Trusted Execution Technology, Hyperthreading and virtualization optimization as well as all the other improvements in the Sandy Bridge lineup.  The 32nm chip has two cores running at 1.2GHz, sports a TDP of 20W and is expected to sell for around $150.  At that price and TDP it is unlikely to be a good answer to the smaller chips that ARM is now trying to sneak into the server room but at least Intel now has a low power chip for the server room.

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"Intel will launch its Cedar Trail-M platform for netbooks including 32nm-based Atom N2800 and N2600 processors in December, according to industry sources.

Because of shrinking demand for Atom processors and chipsets due to competition from tablet PCs, Intel's third-quarter 2011 revenues of US$269 million from related products dropped 32% on year, the sources indicated. Due to weak demand, Intel has delayed Cedar Trail-M from September to December, the sources noted."

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Source: DigiTimes

HP Jumps Back Into PC OEM Mode With New Business PCs

Subject: General Tech, Mobile | November 6, 2011 - 05:32 AM |
Tagged: tablet, slate 2, psg, hp, business, atom

Not long after HP reconsidered spinning off the PC manufacturing arm of the company, it has begun prepping two new business computers. The new PCs are aimed at business, education, healthcare, and government users and include a tablet and notebook. Specifically, HP is releasing the HP Slate 2 tablet computer and a lightweight notebook dubbed the HP 3115m.

 

HP Slate 2.jpg

The HP Slate 2 is a dark gray and silver accented slate style tablet computer weighing in at 1.5 lbs and a 8.9” (diagonal) screen. Running Windows 7, the computer offers both pen and touch input using its capacitive multi-touch display. To make up for the absence of a hardware keyboard, HP is including a new Swype keyboard application which will likely be well received as a notable improvement over the default Windows 7 on screen keyboard. As it is aimed at business users, several security enhancements are baked in, including a TPM (Trusted Platform Module) chip, HP ProtectTools, and Computrace Pro BIOS level security software.

On the hardware side of things, the HP tablet is powered by an Intel Atom Z670 processor and a mSATA compatible SSD. A front facing VGA camera is available for video conferencing, and a second 3 MP (megapixel) camera is located on the back providing photo and video capture. Further, the tablet features SRS Premium Sound, Wi-Fi, Ethernet, Bluetooth, optional 3G mobile broadband, an SD card slot, and USB 2.0 ports. HP is further designing a docking station, integrated Bluetooth keyboard tablet case, and a Point of Sale (POS) attachment that adds a magnetic card reader to the tablet for processing credit card payments.

For those that would prefer a hardware keyboard instead of a tablet PC, HP is also releasing a lightweight notebook. The company claims that the new HP 3115m laptop will offer up to 11.5 hours of battery life. The PC features a 11.6” LED-backlit HD display, an HP webcam, and Beats Audio. Powering the laptop is a AMD E450 dual core Fusion APU. The APU features AMD Radeon HD 6320 graphics hardware, which should easily meet the needs of road warriors and business professionals.

Both the HP Slate 2 and 3115m will be available later this month. The HP Slate 2 will be available worldwide towards the end of the month while the 3115m will be available November 11th in North and South America only.  More photos can be found here.