Intel Corp. (Nasdaq: INTC) won't have to fight ARM Ltd. (Nasdaq: ARMHY; London: ARM) for nontablet device attention anytime soon at Acer Inc. , one of the market's top OEMs with a wide range of products addressing the computing industry.
J.T. Wang, the chairman of Acer, told Reuters that his Taiwan company is not ready to introduce "non-tablet devices using ARM designs." He said that, for performance reasons, the company is sticking with Intel-based processors for now in the desktop and notebook markets.
The same headwind that is making it difficult for Intel to crack the tablet market is hurting ARM in the desktop and notebook markets. Some manufacturers would like to give ARM a shot and try to break Intel's dominance in the traditional computer sector, but that would require a supply chain retuning that could raise costs further. According to Wang, the appeal of ARM-licensed processors isn't quite strong enough to compensate manufacturers for the added costs.
ARM would have to improve the performance of its technology to gain the full patronage of companies like Acer, which would have to adopt ARM 64-bit to be competitive with Intel processors. In time, though, Acer and many of its rivals will begin to adopt ARM-based processors, due to growing interest from chip makers seeking to become bigger players in the sector. Several companies, including Marvell and STMicroelectronics, have already rolled out ARM-based server chips.
I think the situation might change in next two years when the ARM hardware starts delivering better peroformance for PC applications. This completely depends on success of Window8 on ARM. At the same time Intel is pushing themselves to become a strong contributor to mobile processor market. Now Intel seems to making few strides with their innovative and advanced manufacturing but I still doubt if these products have right masala to take it forward !!!
Perhaps rather than try to take on Intel in the traditional PC market ARM may be better off expanding its products into areas where Intel is not currently a player. That's how it became a leading player in the tablet PC and smartphone markets. Intel isn't going to just lie down and let ARM overtake it in PCs and notebooks and it has the financial muscle to keep pushing the performance roadmap. Does ARM have what it takes to rival Intel and still be financially competitive?
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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