“Sitting in a hotel conference room in early December after speaking at a leadership conference in San Francisco, Intel CEO Paul Otellini, who has been in the job since May, for the first time outlined some of the historic changes — and the challenges — he faces in remaking Intel. The chipmaker is changing its logo, dropping the Pentium brand, and launching a ‘big bang’ of products throughout 2006,” BusinessWeek reports. Otellini spoke with BusinessWeek Technology Correspondent Cliff Edwards about a range of topics, including Apple Computer:
Edwards: These are some pretty cherished institutions you’re dropping — the Pentium brand, the dropped “e” in the logo. How much trepidation did you feel?
Ottelini: When Eric asked me if I had any sacred cows, I said no. He asked, what around the dropped “e”? And I said if it makes sense, it’s time to do it. He was given pretty free rein to change. And when I saw [the new logo], it just jumped out at me. It reflected that change, where we want to go. There’s a feeling of movement around [the new logo], and the tag line “Leap Ahead” certainly reiterates that.
Tell me about the Apple relationship. You struck the deal in June for them to use Intel chips, which was something of a coup. What does that mean for Intel?
At the end of the day, we live to sell chips. First and foremost, it’s market-expanding for us. Secondly, as I said at the developers’ forum, the thing that Apple really brings to the Intel family of customers is their innovation. They [have an] ability to not just mix hardware and software, which is unique, but also to drop software upgrades rather frequently to take advantage of hardware changes. I think what [Apple CEO] Steve [Jobs] said at the forum is they’ve dropped five releases of the operating system in the last four years. That alone is very appealing. [When it comes to design], they are a front-runner — people copy some of their design elements. I believe as they start taking advantage of some of our lower-power products…it will drive a trend toward smaller, cheaper, cooler.
More in the full interview here.
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Related article:
Think Different: Intel plans to ‘Leap ahead’ by axing ‘Intel Inside,’ ‘Pentium,’ dropped ‘e’ in logo – December 30, 2005
A wise decision: “…why can’t people accept he made the right choice…”
Well, that´s question isn´t it? Did Steve make the right choice? (Or maybe he did not have a choice…)
Or was it another question for Steve – I can´t win in the computer biz, so how do I steer Apple into something else – a music and video distributor and hardware maker, perhaps…the new Sony?
Otellini said “smaller, cheaper, cooler”
That’s the benefit for Apple. Notebooks, desktops (incl. mini), pocketable (iPod), all old lines will benefit, and new lines will be created (subnotebooks, handheld, auto, living room, kitchen, etc).
Apple will readily put to use everything Intel can ship. I’m sure Jobs and company already have dreamt up lots of consumer products with appealing shapes for use in all kinds of places, and are just waiting for the technology at the right price.
HP did get positive oomph from Apple. Once they started selling iPods, they were the #2 in MP3 player sales, blowing past Dell. But HP executed half-heartedly – i.e, didn’t get the iPod out all of their domestic or international channels as quickly as possible. Carly’s biggest failing was in getting HP to execute.
So Steve went ahead and took Walmart, Radio Shack, and other distributors back for Apple.
this is a scary time to be a mac user
Kind of OT, but just found this and it’s kind of funny about Windows XP holes:
Bush Orders NSA to Secure Microsoft Windows XP
macuser47 – Iknow you know this, but to those that don´t – scrappleface is a joke, satire website…not to be confused with real news. Because me will confuse it.
MacDude– a breath of fresh air as always. Bleh.
OK MacDude, not that I don’t think the G5 chip isn’t a smoker, but.. The fact is that Intels chips are currently crippled with legacy crap to support windows, intel hates it.
Along comes Apple, lets make soome smoking chips and ditch all that legacy windows garbage and while were at it less get out on the edge and roll with some new shiat. It is a win win for both, it is nothing like the HP deal at all
All HP got was their logo on the box, Apple was the clear winner there as it put ipods into places like RadioShack and other outlets that carry HP product, thus making the ipod appear everywhere and gave consumers more oppurtunities to snap up the ipod.
You will see processors come out from Intel that only go into Mac boxes and they will smoke the doors off of the current crop of Dells and you will see the market exert true pressure on MS to upgrade that shiatpile of an os and go on with newer processors that do not contain the legacy garbage.
just you wait and see..
The performance of the intel macs is probably going to be just fine. Hackers that have installed os X on their laptops have not complained about the performance. Also as every linux user knows, a good unix installed on an intel platform frees the processor to give more balanced performance than can be obtained running the various flavors of windows.
Some of you still don’t get it. IBM has said *point blank* that they were not investing much time or money into making the G5 work as a portable chip.
End of story.
Whether you like Intel or not, it was either Intel chips or Apple stops making Powerbooks. Which one would you have chosen?
Thought so.
Agreed with Matt. This was not some brilliant revelation on Steve´s part to go to Intel – he had no choice. It was Intel (and he´s probably lucky they said yes) or close down the shop.
And to the guy saying hackers have not complained about performance of OSX on their Windows laptops. How could they and why would they? They just try to do it, not use it. Their bastardazation to get it on a Windows PC is an excercise in “who gives a rats ass” that only hackers would appreciate.
If Apple smokes the Windows on Intel chips that is super great for Apple. If not, well then bad news and lots of spinning, rose colored kool-aid will be given out by Steve and Co.
What I find kind of puzzling is the lack of any “Wow!” rumors/hints/teasers coming from any of the computer makers that will use these new Intel chips.
Where´s all the buzz or hints of a buzz on how these chips are the next best thing since sliced bread? The Intel guys remarks are kind of corporate blah, blah, blah to me.
Yes, MacDude, the G5 could smoke Intel. So Apple wasn’t lying at the intro. But the G5 has since required liquid cooling, and still hasn’t gotten to 3 MHz, even with intense IBM attention. In another year or 2, the G5 will be smoked by something else. But that’s neither here nor there.
The point is “smaller, cheaper, cooler.” The market for the high-end expensive box is shrinking as there is enough power for most people in lower performance chips. Apple will keep selling a high-end box, as we can see from its continued emphasis on HPC for several markets. But that’s not where growth or market share is. So onto smaller, cheaper, cooler.
The consumer market is where the action and the money is. Putting “computers and networks” inside everyday devices that get sold in the millions per quarter. Apple knows it. Intel knows it. Even MS and Sony knows it.
I’ve had a Mac since 1984, so I’ve been through it all. The original Mac was intended to be an appliance but it drifted far away from that. It’s moved back in that direction via the iMac and now the Mac mini.
Dump any Apple stock if you think they’re headed the wrong way. I’m not.
WATCH AND SEE.
That 3MHz should’ve been 3GHz.
Or maybe you don’t hear it because it isn’t ready yet and they rae taking a cue from Apple and keeping their mouths shut until Steve J announces onstage with Otellini at WWDC in June..
My personal speculation – keep an eye on the Apple stock and get your hands on as much Google stock as possible.
j – Apple and Google already had their run up for the forseeable future – you missed it if you are just getting in.
People buy on rumor, sell on fact.
The facts are coming out with Apple on Jan. 9.
Watch Apple stock drop, then spend the rest of the year going sideways.
Among other things it is all part of a slowdown in the US economy brought about by the start of or collapse of the housing bubble and growing problem with energy costs. And the growing unrest in China which will make manufacturers wonder about all the products being made in China. China will in turn do what all dictatorships do when their is unrest growing in their country – use to much obusive power and irrationally try to blame an outside govt.; i.e. they will threaten/attempt to invade Taiwan.
(Although they are trying their best to hide all the unrest in China because of the upcoming Olympics.)
Regarding Google – there are other smart people working on other ideas that will dilute Google´s influence…hint: watch Rupert Murdoch.
The truth has it. Intel have no particular reasson to expand on what they can do for Apple but more importantly if they did they would cross SJ on the secrecy front if they actually revealed anything particulary worth while. As it is people heree are already saying this confirms the new mac mini media centre. As has been said far better to let SJ reveal what they will be doing for Apple a week later- probably with Intel on stage with him. But we shall see.
Not sure what Rupert Murdoch has to offer short term. seems to be more conceerned with hodling onto his Empire than aactually expanding it significaantly further these days. An old man trying to sort out how to pass on the reigns of power to someone who won’t destry it all, something not easy with his children’s backbiting and power struggles.
Yes, this is a very positive statement from Ottellini on Intel’s feelings on Apple, but the big news will come from him and Steve Jobs, January 10th about Apple’s feelings about Intel. Steve will show us first hand why the move to Intel is such a good thing.
–rudge