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In early 2006, Intel decided to go in for
a rebranding strategy and changed its brand name and logo.
The rebranding strategy was taken as Intel planned to
position itself as a consumer-oriented, digital media
platform provider rather than merely a supplier of CPUs and
components for other manufacturers. Analysts explained that
Intel’s move was intended to strengthen its presence in new
businesses areas such as cellular phones, MP3 players,
remote controls, and PDAs as it was facing intense
competition from arch-rival AMD, which had resulted in its
losing market share.
Intel considered Dell’s move to AMD Opteron as a wake-up
call to it to increase its competitiveness. Otellini said,
“Inside Intel we need to keep a clear focus on delivering
the new family of products this year and next that will
allow us to win back share in all market segments and at all
of our current and future customers.”9 |
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But some analysts opined that Dell had chosen the wrong time to shift from
Intel as Intel had plans to launch a next-generation processor ‘Woodcrest’
for the servers segment. Intel claimed that the new processor would give
tough competition to AMD’s Opteron.
ADDITIONAL READING AND REFERENCES
1. “Dell Goes For AMD,” www.forbes.com, May 18, 2006.
2. “Dell-AMD Deal Dominates Tech News,” www.forbes.com, May 18, 2006.
3. Edward F. Moltzen and Kristen Kenedy, “Dell To Use AMD In New Servers,”
www.crn.com, May 18, 2006.
4. Ben Ames, “Dell plans AMD servers,” www.infoworld.com, May 18, 2006.
5. Scott M. Fulton, III, “Intel CEO Otellini ‘incredibly disappointed’ by
Dell’s AMD decision,” www.TGDaily.com, May 19, 2006.
6. Jay Lyman, “Dell to Offer AMD Opteron-Powered Servers,”
www.technewsworld.com, May 19, 2006.
7. “Dell switch dents Intel shares,” www.news.zdnet.com, May 19, 2006.
8. Swapnil Bhartiya, “Dell Drops Intel, Picks AMD,” www.EFYTimes.com, May
20, 2006.
9. Matthew Borghese, “Intel's CEO Speaks Out About Dell's Move To AMD,”
www.allheadlinesnews.com, May 20, 2006.
[7] Scott M. Fulton, III, “Intel CEO Otellini ‘incredibly disappointed’ by
Dell’s AMD decision Scott M. Fulton, III,” www.TGDaily.com, May 19, 2006.
[8] Microsoft Windows Vista is the next generation of Microsoft Windows
after Windows XP. It proposed to integrate security as not an add-on feature
but an integral part of an operating system. It is scheduled to be launched
in January 2007.
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