Intel to make more flash in midst of reorganization

Intel decided to increase its investment in NOR flash memory chips, while reportedly planning to sell off two communications processor families.

Faced with slipping market share for its microprocessors, Intel has decided to increase its investment in NOR flash memory chips, as published reports suggest it will sell off two of its communications processor families.

Intel plans to add a 3-volt version to its StrataFlash embedded memory family (now available in 1.8 volts) and launch its first-ever serial flash product, both by the fourth quarter of 2006, the company said Tuesday.

In separate news, Intel has begun looking for a buyer for its xScale and IXP network processor chips, used in smartphones, according to a story in the Wall Street Journal. Internet blogs are also reporting that Intel is trying to sell a separate communications division called Dialogic, which makes telephony software and network interfaces.

Intel declined to comment on the reports.

Both moves could be related to Intel Chief Executive Officer Paul Otellini's promise to reorganize the company in light of weak earnings reports in recent quarters. Intel has been losing market share to rival Advanced Micro Devices Inc. while missing its earnings targets.

In an April meeting with analysts, Otellini said he would "restructure, repurpose and resize" the company after predicting profits would fall from US$12.1 billion in 2005 to US$9.3 billion in 2006.

Since then, the company has made three moves: announced plans to close an Ethernet networking office in Glasgow, Scotland; shut down an optical platforms division in Newark, California; and combined its NAND and NOR flash memory groups into a single division.

Intel sees a potential payday in the fast-growing NOR memory market. NOR chips are a crucial ingredient for embedded devices from consumer electronics to PCs and industrial electronics.

Excluding handsets, the market is forecast to be $2 billion to $3 billion in 2006. Then the market will double in size between 2006 and 2010, said Darin Billerbeck, vice president and general manager of the Intel Flash Products Group.

Vendors use three-volt embedded memory chips in set-top boxes, base stations and networking equipment. They use serial flash for DVDs, digital TVs, printers and PCs.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Ben Ames

IDG News Service
Show Comments


James Cook University - Master of Data Science Online Course

Learn more >


Sansai 6-Outlet Power Board + 4-Port USB Charging Station

Learn more >



Back To Business Guide

Click for more ›

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?