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Paul Otellini - Image courtesy Intel
CEO Paul Otellini revealed broad restructuring of the chip maker’s operations at a shareholder meeting on Thursday

On the heels of a 38 percent profit drop in first quarter profits last week and slowing sales growth in the personal computers market, Intel CEO Paul Otellini stated that there would be major changes in the company to improve efficiency. Otellini said Intel will look at ways of cutting costs per unit, increasing employee productivity and implementing immediate changes to underperforming business units over the next 90 days.

Otellini also stated that this restructuring will focus on every aspect of the chip maker’s operations. "No stone will remain unturned or unlooked at," claimed the CEO. “You will see a leaner, more agile and more efficient Intel Corp."  Intel underwent a similar change under Otellini's direction two years ago, which resulted in several project terminations such as LCoS research.  Flash memory looks to be one of the largest projects on Intel's cutting board, losing over $100M  USD in Q1'06  alone. 

Intel will also be introducing three new chips over the summer to refresh its product lines. Woodcrest for servers will be released in June, Conroe for desktops in July and Merom for notebooks in August.

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RE: Woodcrest in June also
By cgrecu77 on 4/27/2006 4:35:13 PM , Rating: 0
then you're hearing might be impaired ... :)

when it comes to retail cpus 98%+ of the units are sold to gamers, let's face it, if you know enough about computers so you can install your own CPU then you're either working in IT or you're a gamer - i.e. you're a gamer ... :)

When it comes to games only P4EE comes close to Athlon64 and in several games even the top 1000+ P4 has troubles competing with the X2 ... Also, all in all I have the feeling that mb+ram prices are slightly more expensive for intel cpus (and even if I'm wrong, when you're buying a gaming system you probably spend close to $1000 so $50 are not going to make much of a difference anyway).

As for the news itself, restructuring is always well received by shareholders for obvious reasons. However, restructuring doesn't solve anything in the long run, take a look at HP or Sun, they're locked in a eternal restructuring process. The good thing for Intel is that even though their profit for the first quarter dropped 38%, on an yearly basis they're still making billions so it's not like they're near bankruptcy *yet* ... :)

RE: Woodcrest in June also
By bamacre on 4/27/2006 5:47:44 PM , Rating: 2
"then you're hearing might be impaired ... :)"

I don't think so...

In the gaming benchmarks, the 840 is extremely close to the x2 3800+, even beating it in one out of the three games. And I imgagine the 940, with a larger cache, is a little faster than the 840, at minimum.

"when it comes to retail cpus 98%+ of the units are sold to gamers"

Nah, no way. Nowhere near that high. If you can prove, please do. Gaming is a very small market.

"Also, all in all I have the feeling that mb+ram prices are slightly more expensive for intel cpus"

Nope. Although I have been having a tougher time finding ones that support Pentium D's at a cheaper price, all in all, mobo's and DDR2 memory, recently, and at times before, are slighly cheaper than amd-based boards and DDR memory.

And, not only am I gamer, I do sell desktops for a living, both Intel and AMD based. Come see me on ebay. :D

"Vista runs on Atom ... It's just no one uses it". -- Intel CEO Paul Otellini
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