Open letter to Intel
In what looks like a rather self-inflating statement by Nomura Equity Research, one of their top analysts has apparently written an open letter to Intel’s CEO, Paul Otellini, asking him to consider adopting the ARM architecture and using it as the basis for future generations of high-performance and low-power processors.
This is something that Intel is highly unlikely to do under the leadership of Otellini, but the idea that Intel may adopt ARM is nothing new. In fact, if we are correct about ARM successfully breaking into Intel’s high margin business, then they may have no option but to accept that x86 is not sustainable.
The article is well worth a read and highlights how many in the stock market now view the once mighty and powerful Intel. Unless they can establish a reasonable share of the tablet market within the next 12 months, we would expect some raised voices asking for Otellini to move aside. It’s not just about short-term profits; this is about long-term survival.
In addition, Intel will be reporting this first quarter’s result after the bell today, on Tuesday April 19th. We are very keen to find out how the total volume of Atom shipments this quarter compared to the same quarter in the previous year. We have less than 24hours wait. Any thoughts?