Intel 2010 Annual Report Download - page 40

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Table of Contents
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS (Continued)
To succeed in the changing computing environment, we have the following key objectives:
We will use our core assets to meet these objectives. Our core assets include our silicon and process technology, our
architecture and platforms, our global presence, our strong relationships across the industry, and our brand recognition. We
believe that applying these core assets to our key focus areas provides us with the scale, capacity, and global reach to establish
new technologies and respond to customers’ needs quickly. Some of our core assets and key focus areas are:
Our continued investment in developing our assets and execution on key focus areas will strengthen our competitive position
as we enter and expand into new market segments. We believe that these new market segments will result in demand that is
incremental to that of microprocessors designed for notebook and desktop computers. We also believe that increased Internet
traffic and use of cloud computing create a need for greater server infrastructure, including server products optimized for
energy-efficient performance and virtualization.
Strive to ensure that Intel technology remains the best choice for the PC as well as cloud computing and the data
center.
Expand platforms into adjacent market segments to bring compelling new solutions to the smartphone, the tablet, the
TV, the car, and the rest of the embedded world.
Enable devices that connect to the Internet and to each other to create a continuum of personal computing. This
continuum would give consumers a set of secure, consistent, and personalized computing experiences.
Positively impact the world through our actions and the application of our energy
-
efficient technology.
Silicon and Manufacturing Technology Leadership. We have long been a leader in silicon process technology and
manufacturing, and we aim to continue our lead through investment and innovation in this critical area. We drive a
regular two-year upgrade cycle—introducing a new microarchitecture approximately every two years and ramping the
next generation of silicon process technology in the intervening years. We refer to this as our “tick-tock” technology
development cadence. As we continue to drive Moore’s Law over the next several years, we believe that the value of
this advantage will increase. We aim to have the best process technology, and unlike most semiconductor companies,
we primarily manufacture our products in our own facilities. This allows us to optimize performance, reduce our time
to market, and scale new products more rapidly.
Architecture and Platforms.
We are now developing a wide range of solutions for devices that span the computing
continuum, from PCs and smartphones to smart TVs and in-vehicle infotainment systems and beyond. Users want
computing experiences that are consistent and devices that are interoperable. Users and developers value consistency
of architecture, which provides a common framework that allows for reduced time to market, with the ability to
leverage technologies across multiple form factors. We believe that we can meet the needs of both users and
developers by offering Intel
®
architecture-
based computing solutions across the computing continuum. We continue to
invest in improving Intel architecture so that we can deliver increased value to our customers in existing market
segments and also expand the capabilities of the architecture to meet end-user and customer needs in adjacent market
segments. Increasingly, we are delivering our architecture in the form of platforms. Platforms include not only the
microprocessor, but other critical hardware and software ingredients that are necessary to create computing solutions.
We are expanding our platform capabilities with connectivity solutions, new types of user interfaces, new features and
capabilities, and complementary software.
Software. We enable and advance the computing ecosystem by providing development tools and support to help
software developers create software applications and operating systems that take advantage of our platforms. We seek
to expedite growth in various market segments, such as the embedded and handheld market segments, through our
software offerings. Additionally, we have collaborated with other companies to develop software platforms optimized
for our Intel
®
Atom
TM
processors and that support multiple hardware architectures as well as multiple operating
systems.
Customer Orientation. Our strategy focuses on developing our next generation of products based on the needs and
expectations of our customers. In turn, our products help enable the design and development of new form factors and
usage models for businesses and consumers. We offer platforms that incorporate various components designed and
configured to work together to provide an optimized solution compared to components that are used separately.
Additionally, we promote industry standards that we believe will yield innovation and improved technologies for users.
Strategic Investments. We make investments in companies around the world that we believe will generate financial
returns, further our strategic objectives, and support our key business initiatives. Our investments, including those
made through our Intel Capital program, generally focus on investing in companies and initiatives to stimulate growth
in the digital economy, create new business opportunities for Intel, and expand global markets for our products.
Stewardship. We are committed to developing energy-efficient technology solutions that can be used to address major
global problems while reducing our environmental impact. We are also committed to helping transform education
globally through our technology, program, and policy leadership, as well as funding through the Intel Foundation. In
addition, we strive to cultivate a work environment where engaged, energized employees can thrive in their jobs and in
their communities.