Intel Project Updated - Final Without Border

AN ORGANISATIONAL STUDY IN INTEL
CHAPTER-1
COMPANY PROFILE
1.1 Brief history of the Organization and Current Board of Directors
Gordon E. Moore (known for "Moore's law"), a chemist, and Robert Noyce, a scientist
and co-inventor of the integrated circuit, created Intel in Mountain View, California, in
1968. Max Palevsky (investor and venture capitalist) was on the board from the
beginning, and Arthur Rock (investor and venture capitalist) assisted them in finding
investors. Moore and Noyce had founded Intel after leaving Fairchild Semiconductor.
Rock was not a company employee, but he was a shareholder and chairman of the board
of directors. Intel received a total of $2.5 million in convertible debentures (equivalent
to $18.6 million in 2020) and $10,000 from Rock as an initial investment.
Intel went public 2 years later, generating $6.8 million ($23.50 per share) in an initial
public offering (IPO). Andy Grove, a chemical engineer who subsequently led Intel
through most of the 1980s and the high-growth 1990s, was the company's third
employee.
Moore and Noyce swiftly ruled out "Moore Noyce," a close homophone for "more noise"
— an ill-advised name for an electronics firm, because noise in electronics is often
unwanted and linked with harmful interference. Instead, on July 18, 1968, they created
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ST. THOMAS COLLEGE KOZHENCHERRY
NM Electronics (or MN Electronics), but by the end of the month, they had changed the
name to Intel, which stood for Integrated Electronics. Intel Corporation, abbreviated as
Intel, is a worldwide company and technology company based in Santa Clara, California.
It is the world's largest semiconductor chip producer in terms of sales, and it is the
creator of the x86 series of microprocessors, which are used in the majority of personal
computers (PCs). Intel, which is based in Delaware, has been placed No. 45 on the
Fortune 500 list of the largest US firms by total revenue for over a decade, from the
fiscal years 2007 to 2016.
Acer, Lenovo, HP, and Dell are among the companies that use Intel microprocessors in
their computers. Intel also produces motherboard chipsets, network interface
controllers and integrated circuits, flash memory, graphics chips, embedded CPUs, and
other communications and computing-related technologies. Intel (integrated and
electronics) was formed on July 18, 1968, by Gordon Moore (of Moore's law) and Robert
Noyce, and is linked to Andrew Grove's corporate leadership and vision. Silicon Valley's
growth as a high-tech powerhouse was aided in no small part by Intel.
During the 1990s, Intel spent a lot of money into innovative microprocessor designs,
which helped the computer industry develop quickly. Intel became the dominant
supplier of microprocessors for PCs during this time, and was known for using
aggressive and anti-competitive tactics to defend its market position, particularly
against Advanced Micro Devices (AMD), as well as a battle with Microsoft for control of
the PC industry's direction.
Power TOP and Latency TOP are hosted by Intel's Open-Source Technology Center,
which also supports other open-source projects including Wayland, Mesa, Threading
Building Blocks (TBB), and Xen.
Current Board of Directors
• Patrick Gelsinger (CEO)

• James J. Goetz
• Andrea Goldsmith
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• Alyssa Henry
• Omar Ishrak
• Risa Lavizzo-Mourey
• Tsu-Jae King Liu
• Gregory D. Smith
• Dion Weisler
1.2 Mission/Vision Statement and Quality Policy followed/ Quality Certification

attained
"Delight our customers, workers, and shareholders by continually delivering the
platform and technology improvements that become crucial to the way we work and
live," claims Intel’s mission statement. The statement highlights the initiatives the
corporation intends to take to increase its influence in the semiconductor chip
manufacturing industry.
Intel’s vision statement: “If it is smart and connected, it is best with Intel.” The vision
statement reveals that Intel Corporation is all about excellence and perfection. It
underscores the addiction of the company to success, and that it settles for nothing less.
The various characteristics that emerge from this vision statement include:
1. Smart and connected
2. Best with Intel
It shows that the company has the right machinery to provide state of the art
technological devices for all its customers.
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Quality Policy
They are firm believers in the importance of quality, and that:
• Their consumers are prioritized. To provide world-class quality and an

exceptional client experience, we listen and cooperate.
• Incorporate safety, security, dependability, compliance, and quality into all of our
products, technologies, and services, as well as across our whole organization.
• For developing digital and connected world, they try to create new products that
support and enable data integrity, system availability, and configurability.
• Employees embody a quality discipline and holistically drive continuous
improvement, prevention, and closed-loop learning.
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Certificate of Registration
of Quality Management System
to ISO 9001:2015
The National Standards Authority of Ireland certifies that:
Intel Corporation
Assembly and Test Manufacturing
MSR Central Management Group
4500 S. Dobson Road
Chandler, AZ 85248
USA
has been assessed and deemed to comply with the

requirements of the above standard in respect of the scope of
operations given below:
Assembly and Test of Semiconductor Components,

Associated Equipment and Processes
Additional sites covered under this multi-site certification are listed on the
Annex (File No. 19.4326)
Approved by: Approved by:
Geraldine LarkinChief Lisa Greenleaf
Executive Officer Operations Manager
Registration Number: 19.4326

Certification Granted: April 21, 2002
Effective Date: January 01, 2020
Expiry Date: December 31, 2022
National Standards Authority of Ireland, 20 Trafalgar Square, Nashua, New Hampshire, NH 03063, USA T +1 603 882 4412
9001:2015–MSP-ANAB-US (2.0)
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1.3 Business Process of the Organization- Product profile

Intel is well recognized for creating the microprocessors found in the majority of
personal computers throughout the world. The international technological corporation
is also the world's top revenue producer of semiconductor chips, which are used in
nearly all electronic products. Several prominent IT businesses, like Dell, HP, and
Lenovo, employ Intel microprocessors in their PCs. Graphics processors, flash memory,
motherboard chipsets, and other computing equipment are all made by Intel. Intel has
made significant investments in artificial intelligence in recent years, including the $2
billion acquisition of A.I. chipmaker Habana Labs in December 2019.
• Intel largely concentrates on designing and producing its products in its own
facilities, using unique process methods. The organization has the size and
experience required to enable extensive connection with its clients. As a result, it
gains a competitive advantage.
• Through its production, the firm improves performance, reduces time-to-market
for new product introductions, and manages critical components of supply
change. The corporation distributes its investments over a vast manufacturing
base of goods by sharing architectural innovation and intellectual property,
lowering costs and increasing return on capital.
• Intel is already a leading factor behind the AI and self-driving revolutions. The
organization plans to address the demands of its most forward-thinking
consumers to:
1. promote and accelerate open software stacks in the AI sector.

2. to create the finest AI products possible.
3. to seed and drive the AI ecosystem.
• Customers also employ Intel® Xeon® processors as the core of the AI revolution
for workloads like as image identification, increased public security, and natural
language processing.
• Intel® Nervana TM Neural Network Processors and Intel® Movidius TM Myriad
TM Vision Processing Units (VPUs) provide a complete set of hardware and
software technologies that allow a wide range of capabilities and support a
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variety of AI methodologies. Customers may now incorporate AI into everything

they do.
• Intel's global effect may be seen via a series of technological waves, including the
personal computer, the Internet, and cloud computing. The firm will continue to
supply the goods and technology that form the cornerstone for global innovation,
thanks to its production and technical capabilities. It also seeks to provide its
clients and consumers with the most innovative and engaging technology
experiences possible, using new-age drivers like as AI, ML, Deep Learning,
Analytics, and cloud computing, to mention a few.
• Intel's current strategy supports the digital transformation wave, and the
business will continue to develop in its products while providing leading
solutions that provide greater value to its customers.
1.4 Customers of the Organization – Level of Operations

(Global/National/Regional)
1. Among our clients are:
• Companies that create computers and designs include:

• System of computers
• Handheld computer devices and cellular cellphones
• Telecommunications
• Communication equipment that is networked
2. Users of computer and network communications products (including individuals,
large and small businesses, and service providers). PC components and board
level items, as well as networking and communications equipment, are
purchased by our customers. Throughout the world, products are acquired
through distributor, reseller, retailer, and Original Equipment Manufacturer
(OEM) channels.
3. Manufacturers of a wide range of industrial and communications equipment are
among the others.
4. Last year, HP surpassed Dell as the world's largest customer for microchip
producer Intel.
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5. HP, which took over as the world's top PC seller from Dell in 2006, accounted for
20% of Intel's sales last year, up from 17% in 2007, according to the chipmaker's
annual report released on Monday. Dell accounted for 18% of Intel's sales, which
was unchanged from the previous year.
6. Intel's two largest clients are by far the two PC manufacturers. No other
customer contributed for more than 10% of sales, according to the world's
largest chip producer.
7. Amazon, Apple, and Microsoft, among Intel's largest clients, have all started
developing their own chips and contracting outsourced manufacturers to
produce them. Advanced Micro Devices (AMD) Inc., an Intel competitor and
another so-called fabless chipmaker, has been selling 7nm components for
months.
One of the most difficult industrial processes humans have created is stacking billions of
tiny transistors onto ever-smaller computer chips. A fully equipped new fab costs over
$10 billion and takes around three years to build with 6,000 personnel. Intel's
manufacturing activities are massively scaled throughout the globe, necessitating a
global supply chain that spans many continents.
Our global network and manufacturing footprint provides us with the scale, capacity,
and global reach to establish new technologies with better quality control. We recognize
that the health of local economies— especially those where our employees live and
work – is critical for our shared success.
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Intel in California
They have 15,000 California employees at three major sites in Santa Clara, San Jose, and
Folsom, and research and development sites in Irvine and San Diego.
Intel in Oregon
With 20,000 employees at four campuses west of Portland in Washington County,
Oregon operations are their largest concentration of facilities and talent in the world.
Intel in Arizona
With more than 10,000 employees across two campuses, they manufacture
microprocessors that power data centers and hundreds of millions of smart and
connected devices worldwide.
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Intel in New Mexico
Since establishing operations in the state in 1980, Intel has invested more than $15
billion in New Mexico to develop advanced high-tech manufacturing capacity
1.5 Competitors of the Company

Despite being the industry leader, Intel competes for market share with a large number
of other companies. Some of Intel's primary rivals are listed below.
1. AMD
AMD, short for Advanced Micro Devices, is a company that makes more than only
microprocessors, similar to Intel. Both firms design and manufacture
motherboards, servers, and other computer gear.
Intel and AMD, like Apple and Microsoft, are competitors. They both have their
own set of requirements and loyal users who will always choose one over the
other. Both firms' products are comparable in terms of price and quality. Despite
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the fact that Intel's chips are generally found in the computers of huge
corporations, the battle between Intel and AMD is fought by individuals who
construct their own computers.
2. IBM
International Business Machines, or just IBM, is a well-known company. IBM,
one of the earliest computer firms in the world, was a pioneer in computer
technology during the twentieth century, having been formed in 1911. The
ATM, the hard disc, the floppy disc, the magnetic stripe, and many more
innovative technologies were invented by the business. It is one of the Dow Jones
Industrial Average's (DJIA) 30 largest firms and one of the world's largest
employees.
IBM used to make computers with Intel processors, but it has since sold that
division and is now selling its own servers and mainframes with its own CPUs,
directly competing with Intel. The company launched a program to open source
much of its architecture and firmware back in 2013, which attracted many new
customers to using its central processing units (CPUs), stealing market share
from Intel.
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3. NVIDIA
In the graphics processing unit (GPU) market, NVIDIA is a major player. It is
one of the most well-known video game franchises. Chips for mobile phones
and autos are also designed by the company. Many of its chips are utilized in
supercomputers, and the company is now developing artificial intelligence.
Intel plans to release a new graphics card in the second half of 2021 that will
directly challenge with Nvidia's market domination. It plans to use this to
compete in the data center, artificial intelligence, and machine learning sectors.
4. SAMSUNG
Samsung is a well-known multinational corporation with several business
divisions. It surpassed Intel as the leading semiconductor manufacturer by
revenue in 2018, but Intel reclaimed the position in 2019. It's obvious that both
firms are competing for the top rank. However, Intel and Samsung do not
compete in all areas. Samsung's semiconductors are largely used in smartphones
and data centers, whereas Intel's chips are mostly used in desktops and laptops.
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1.6 Strategies – Business, Pricing, Management

Business Strategy
Intel's customers are anticipating systems that can process, analyze, store, and
transport data, transforming it into actionable insights, incredible experiences, and
competitive advantages. Its architectural platform enables the organization to develop
innovative products that take advantage of this data explosion.
• Innovation Strategy to Lead World of Semiconductors

Intel invests heavily in existing silicon production methods and platforms, as well as
developing new ones. The company's unique technologies make it easier to integrate
goods and platforms to meet changing client demands. Intel's innovation strategy
includes investments in new manufacturing processes and packaging, architecture,
interconnects, and security features built in products. All of this is part of the company's
overall goal of being the top end-to-end platform supplier. Intel largely concentrates on
designing and producing its products in its own facilities, using unique process
methods. The organization has the size and experience required to enable extensive
connection with its clients. As a result, it gains a competitive advantage.
• Driving the AI and Autonomous Revolution

Intel is already working as a driving force of the AI and autonomous revolution.
Mobileye's Eye-Q, an Israeli subsidiary of Intel Corporation, is already the top solution
for advanced driver assistance systems in the automotive sector (ADAS).
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It is establishing market leadership by inventing Road Experience Management for real-

time crowd sourcing mapping and the Responsibility Sensitive Safety paradigm for
autonomous vehicle safety.
• Strengthening Core with Diverse and Inclusive Talents

Intel's core is made up of highly competent, diverse, and talented individuals who can
work together to drive progress in many areas. From the previous 50 years, its rich and
vibrant culture has maintained a solid base. Invention, product leadership, deliberate
leadership in corporate governance policies, and engagement with suppliers,
consumers, regulators, and local communities are all part of the Intel culture, which
leads to the creation and deployment of sustainable business practices.
The organization is proud of its employees who are overcoming obstacles to change the
company's procedures, focus, and ideals in order to enable each individual accomplish
his or her own best. Intel's bright and skilled staff is succeeding in fast-paced,
competitive sectors while also having a good influence on its communities.
• Empowering Future with Strategic Propositions

Intel's current strategy supports the digital transformation wave, and the business will
continue to develop in its products while providing leading solutions that provide
greater value to its customers. The firm has rapidly grown outside its PC and server
divisions, with incredible growth in adjacent goods and a larger portion of a US$300
billion TAM. Intel's progressive approach is being driven by its workers, who are
producing appealing technology and delivering breakthrough products to consumers,
resulting in substantial financial growth.
Pricing Strategy
To maximize earnings, Intel Corporation employs a premium pricing approach. The
company's pricing are higher than rivals', such as AMD's, as part of this approach. This
pricing approach has the benefit of increasing profit margins.
This part of the marketing mix considers price points and ranges. Intel's prices are
determined by a combination of market conditions and the company's overall
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competitive edge over other semiconductor companies. Intel's pricing tactics are as
follows:
1. Strategy for Premium Pricing
2. Pricing Strategy Based on the Market
A main disadvantage is that it is difficult to implement and could fail in a price-sensitive
market. Intel succeeds in using this pricing strategy by maintaining a premium brand
with a corresponding high perceived value, based on the perceptions of target
consumers.
The corporation, for example, promotes its brand and goods as industry leaders in the
semiconductor sector. As a result, customers continue to believe that Intel goods are
superior than those of competitors. This situation allows the corporation to charge
greater rates for its products while yet expecting to expand sales despite cheaper items
from competitors. The market-oriented pricing approach, on the other hand, entails
determining market circumstances as well as rival prices. This pricing method is used
by Intel to govern premium price adjustments. The corporation continues to adopt the
premium pricing strategy as its primary pricing strategy. Intel achieves high profits
through premium pricing, which are supported by premium branding, based on this
part of its marketing mix.
Management Strategy
Many methods for increasing demand are presented at each phase of the value chain.
Intel has understood that as people become more reliant on software, the need for
computers would expand. As a result, the organization has devised a number of
techniques to create value in this chain. Initially, Intel Capital was established to invest
in firms throughout the value chain.
Second, the business pays independent software providers to build software in order to
boost the performance of the Intel processor.
New Technologies:
• Intel's new Virtualization Technology (Intel VT) might help Converged
Application Platforms (CAP) by creating a secure, stable, and integrated
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environment for hosting phone, data, and video services in a single multifunction
device.
• In addition, Intel Corporation has introduced microprocessor processors that
will expand the availability of high-definition video through the internet. Intel
Corporation unveiled 16 new products, including the company's first 45 nano-
meter (nm) CPUs for laptops based on Intel Centrino Processor Technology.
• Intel has created a new microprocessor that will be used to produce video
telephony software. The next generation of home PCs will be video phone
capable. They will be able to make and receive video calls through traditional
telephone lines. 2006, Edwards. It will enable the user to establish a basic phone
connection while also allowing them to view the person with whom they are
conversing. The Intel Corporation intends to deliver video phone technology to
the masses in the near future.
• Intel Corporation plans to boost the power of its newest Pentium
microprocessors and improve compression software to allow video and audio
data to be shared over the same conventional phone line. Leaders in the PC
industry, like as Compaq Computer Corp., are planning to make their complete
range of home computers video-phone compatible.
The process of strategy selection entails creating strategy possibilities, assessing them,
and selecting one that best meets the firm's development needs. The examination of
opportunities is usually the first step in deciding on a plan. Firms essentially pick
growth methods that suit their needs.
Intel's important strategic decision is whether to ignore standards in order to obtain
early market access, or to wait for standards and give its competitors first mover
benefits. The firm must first establish the future path of each current business as part of
the procedure.
1.7 CSR Activities

Intel aims to take on more responsibility by ensuring that "90% of employees believe
Intel has a solid safety culture, and 50% participate in their worldwide corporate
wellness programme," as well as ensuring that human rights are respected across the
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board. Providing nearly 10 million hours of community service to benefit communities

across the company.
1. Intel 2019 CSR and COVID-19

• Intel's CSR had a strong year in 2019. Intel reported that in 2019, it was
successful in reducing greenhouse gas emissions, boosting renewable energy
use, reducing water consumption, meeting its diverse workforce objective two
years ahead of schedule, and growing yearly spending through diverse suppliers.
Intel has received multiple CSR awards throughout the years, but the company
claims that it is continuously seeking to do more for the community and its
consumers.
• Intel is driven to find innovative methods to collaborate with customers and
stakeholders to make progress on complicated issues. Intel’s expectations from
its shareholders, particularly in terms of CSR, are increasing as the firm
progresses and grows. Customers and workers have high expectations, especially
during this time of dealing with COVID-19, and Intel is determined to be a leader
in this area. Companies are no longer judged merely on their profitability, but
also on their social impact, or lack thereof.
• Intel has pledged $50 million toward pandemic response technology and the
corona virus programme.
2. Intel 2030
• Intel's 2030 CSR strategy and targets were just announced a few weeks ago.
According to Intel, its mission is to develop game-changing technology that
improves the lives of everyone on the planet, and CSR plays a significant role in
this. As a result, Intel has developed a new CSR RISE framework, to (E)nable
global issues, tech industry initiatives, and Intel operational and supply chain
goals by becoming more (R)esponsible, (I)nclusive, and (S)ustainable. No one
firm, corporation, or individual can change the world on their own, but Intel
believes that through innovative technology, people can make a genuine
difference.
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• Operational and supply chain goals, industry initiatives, and global problems are
among Intel's 2030 CSR Goals and Initiatives. All three of these goals will involve
plans to promote responsibility, inclusion, and long-term sustainability in each of
these areas.
3. Supply Chain
Starting with Intel's operational and supply chain goals, the firm intends to enhance the
way it communicates with customers as well as the effectiveness of their supply chain
and operations in order to assist their customers in achieving their own CSR objectives.
• Intel has a solid safety culture, and half of its employees engage in the company's
global corporate wellness programme.
• Ensuring that human rights are respected by all suppliers.
• Providing approximately 10 million hours of community service to enhance
communities across the company.
• making sure that 100% of energy use is renewable.
• Conserving energy.
• a 10% reduction in carbon emissions.
• reducing all waste to landfills to zero.
• conserving 60 billion gallons of water to achieve net positive water use
4. Global Challenges
• Intel's new 2030 challenges, as the plan's third pillar, are to promote global
responsibility, inclusivity, and sustainability. Intel aspires to tackle global
problems and actually make a difference through transforming technology in the
areas of health and safety, expanding digital readiness to promote inclusivity,
and addressing climate change by attaining carbon neutral computing.
• Intel has teamed with healthcare and government institutions to develop cloud,
AI, and high-performance technology solutions in order to better treat and
diagnose COVID-19 patients, as well as improve future reactions to problems.
• Additionally, Intel AI for the Youth offers programs to over 100,000 kids in ten
countries, giving opportunities for children and empowering various
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communities via the use of technology. Finally, Intel aspires to produce the
world's most environmentally friendly PC in order to reduce waste.
5. Economic Opportunity
Intel contributes to the communities in which it operates. At Intel sites around the
world, it offers high-skilled, high-paying jobs. Local economies are influenced by its R&D
ecosystem spending, sourcing activity, employee consumer spending, and tax revenue.
In order to promote economic growth and innovation, the corporation also makes
significant investments and leads public-private collaborations.
6. Social Impact
• Intel is the market leader in various sectors, including artificial intelligence,
autonomous driving, and 5G wireless. Individuals, organizations, and
governments are all using this technology to handle and confront critical societal
concerns. Intel also seeks to educate individuals in order to empower them. It
has launched a number of social projects aiming at involving external
stakeholders and improving the company's employees' interests. Additionally,
the company works to empower women all across the world.
The Intel 'She Will Connect' initiative aims to empower millions of women all
around the world. The organization has teamed with various local and
international partners to give millions of women with digital skills training and
empowerment through this programme.
• Intel provides resources to its employees in order for them to help the society
and communities in which they work. Over the last ten years, Intel employees
have volunteered more than 10 million hours in their communities.
• Suppliers have also been active in the company's corporate social responsibility
and sustainability programs.
7. Climate and Energy

• Intel is focused on minimizing its environmental footprint, and the business has
been able to drastically cut its direct carbon footprint. Intel is also one of the
largest business buyers of green energy. Since 2012, the corporation has
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committed more than $200 million in environmental programs. As a result, it

saved over 4 billion kilowatt hours and around $500 million in cash. It also saves
energy in its own operations.
• Intel's technology is also being used to improve the company's environmental
footprint or to assist others in reducing their energy use. Intel also interacts with
public policy stakeholders on a local and worldwide level to address climate
change.
1.8 Export/Import
Intel Group's foreign trade company, Intel Import & Export, is one of Turkey's most
prominent industrial firms. It was founded in 2010 to play a major role in the country's
new international trade initiatives and to organize the Intel Group's foreign trade
activities as a leading authority in the sector. It now handles the export operations and
raw material requirements of many of Turkey's biggest enterprises. It also engages in
high-volume transit trade from third world countries to third-world countries. The
company's overseas trade volume has constantly increased, reaching 1.1 million tons
per year. With its extensive contact connections and overseas trade knowledge, Intel
Import & Export stands out as a unique representation of the company's strong
commercial culture. Every year, the Turkish Exporters Assembly (TIM) publishes a list
of Turkey's Top 1000 Exporting Companies, which includes Intel Import & Export.
The United States now has 14 free trade agreements in place with a total of 20
countries. The USMCA, or United States-Mexico-Canada Free Trade Agreement, is the
most well known FTA (successor to NAFTA). The USMCA, which took effect on July 1,
2020, protects and improves duty-free access to Mexican and Canadian markets while
also increasing cross-border transaction predictability.
Semiconductor shipments from China to the United States fell by 29.4% in January 2019
compared to the same month the previous year. Intel’s most advanced parts, such as
central processing units, are mostly made in the United States and Israel, with
secondary parts and assembly done in China or Vietnam.
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Intel is the largest semiconductor manufacturer in the United States (US) and a global
leader in computing innovation. Despite the fact that Intel conducts around three
quarters of its sophisticated manufacturing and research and development (R&D) in the
United States, it generates more than three-quarters of its revenue from outside the
country. For many years, semiconductors have been one of the top U.S. exports, and
they have been at the centre of rising tensions between the United States and China.
Intel is a strong supporter of strong free trade agreements (FTAs), which open
international markets and level the playing field so that American companies can
continue to develop.
Last year, Israel's computer chip exports to China increased as Chinese companies
purchased more semiconductors produced at Intel's Kiryat Gat plant. According to
recent figures from the Israel Export Institute, semiconductor exports to China
increased by 80 percent to $2.6 billion last year. Intel Israel accounted for at least 80%
of those sales, according to a source in the sector. The two countries have begun talks on
a trade agreement, with technology set to be a prominent topic of discussion. According
to statistics, total Israeli exports to China, excluding diamonds, increased by 50% to $4.7
billion. Sales of inspection equipment for semiconductor manufacturing to China
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increased by 64% to $450 million last year, according to Israel's export institute.
Semiconductor sales to the United States fell 20% to $860 million, adding to a 3%
decline in goods exports. Overall goods exports, however, are still dwarfed by those to
China, at $10.9 billion.
1.9 Collaborations and Expansion Plans

In a business, collaboration implies aligning goals, strategies, and resources through
collaborating with partners in a way that enhances channel relationships, improves
communication and productivity, and creates trust. Today's corporate climate is fast
paced, on-demand, and geographically scattered. Maintaining a competitive advantage
necessitates real-time teamwork that is coherent. Some of the companies that have
collaborated with Intel is as follow:
1. Wipro NSE Limited stated that it will collaborate with Intel to integrate the Intel
vPro platform into Wipro's LIVE Workspace, the company's digital workspace
solution. Customers will benefit from this combined effort by being able to get
remote IT support and solutions, which will help them keep staff productive in
the face of social distance restrictions and other distant-work limitations that
have become the new normal. The Intel vPro technology was integrated into
Wipro's LIVE Workspace, a set of digital workplace services that allows for
remote device management.
2. Deci, a deep learning start up developing the next generation of artificial
intelligence, has announced a wide strategic business and technological
partnership with Intel Corporation to improve deep learning inference on Intel
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Architecture (IA) CPUs. Deci will now collaborate with Intel to deploy
revolutionary AI solutions to mutual consumers as one of the first firms to
participate in Intel's Ignite start up accelerator. The collaboration between Deci
and Intel takes a significant step towards enabling deep learning inference at
scale on Intel CPUs, reducing costs and latency, and enabling new applications of
deep learning inference.
3. Google Cloud and Intel have a long-standing cooperation that allows them to
create combined solutions that are tailored for enterprise workloads, allowing
them to accelerate digital transformation while improving operational efficiency.
4. With crucial security and AI acceleration technology, Intel and Baidu are pushing
the boundaries of AI, cloud, and data center solutions.
5. Intel and SAP have worked together for decades to enable genuine in-memory
computing on premises or in the cloud, allowing intelligent organizations to
make better and faster decisions.
6. Intel and Accenture have combined their extensive knowledge and technological
superiority to deliver cutting-edge solutions at massive scale, anywhere on the
planet. Accelerated co-innovation; capabilities alignment: the appropriate
specialists at the right time; and consistent client outcomes – thanks to skilled
Intel solution architects at Accenture, for over 900 client organizations in more
than 40 industries to date.
7. In this similar case, there are many more partners:
• Intel and Baidu

• Red Hat
• Intel and Alibaba
• VMware
• Cisco etc.
Expansion Plans
Intel has got lots of future plans and predictions, some of them are as follows:
• U.S. chipmaker Intel unveiled plans to invest up to 80 billion euros ($88

billion) across Europe as part of an ambitious expansion aimed at evening
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out imbalances in the global semiconductor industry that have led to big
chip shortages.
• Intel 7 nano-meter process development progressing well with tape in of

7nm compute tile for “Meteor Lake” expected in the second quarter of
2021.
• Intel announced the first phase of its plans to invest as much as 80 billion
euros in the European Union over the next decade along the entire
semiconductor value chain – from research and development (R&D) to
manufacturing to state of-the art packaging technologies.
• Intel Corp. is spending $7.1 billion on new chip packaging facilities in

Malaysia, a major investment to ramp up its global footprint and address
a crippling global chip shortage it expects to persist until 2023.
1.10 SWOT Analysis of the Company
The Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis is a basic yet
effective approach of analysing a company's Strengths, Weaknesses, Opportunities, and
Threats. It enables a firm to build on what it does well, be aware of areas where it can
improve, know who its rivals are, and be aware of possibilities so that it can maximise
them.
1. Strengths of intel
• Technology leader:
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Intel inside has been one of Intel’s strongest marketing campaigns and has made
Intel the leader in terms of technology.
• Ranking:
Intel is ranked 7th in the Brand Values of the top 10 technology companies. This
adds to the brand value of Intel as well
• Brand Value:
Intel ranks 40th worldwide (according to brand finance report 2016) and 7th
amongst technology giants.
• Market Share:
Intel is the world’s largest microchip manufacturer in terms of revenue.
2. Weaknesses of Intel
• Not Diverse:
Intel is limited to the personal computer segment.
• Overproduction:
Intel often overproduces, which causes flooding in the market.
• Service in Developing countries:
Intel’s services are relatively slower in many developing countries like India.
3 . Opportunities for Intel
• The era of Technology and Computers:
The Demand for computers has been on a rise. There was a steep increase in the
sales graph of computers due to the pandemic as well. Work from home and
Online education has caused an increase in sales.
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• Drones:
Drones are gradually gaining a lot of popularity and are destined to be the future
of logistics, surveillance. Intel can work on processors for Drones.
• Automatic Cars:
This is another segment that requires processors and hence presents a great
opportunity for a company like Intel.
4. Threats to Intel
• One product:
Intel puts a major focus on one product only. If another company releases a
better version of the current product which Intel offers, it will be a huge loss for
Intel.
• Competitors:
Intel Faces competition from companies like AMD, Dell, IBM. Intel needs to
ensure that its price, quality, and technology always stay ahead of these
companies.
• Price:
Many companies try to gain Intel’s customers by offering their products at a
lower price. A price-sensitive market will be attracted to much lower prices.
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1.11 Organization Chart
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CHAPTER - 2
AN OVERVIEW OF THE INDUSTRY
2.1 Brief History of the Industry
At its founding, Intel was distinguished by its ability to make logic circuits using
semiconductor devices. The founders' goal was the semiconductor memory market,
widely predicted to replace magnetic-core memory. Its first product, a quick entry into
the small, high-speed memory market in 1969, was the 3101 Schottky TTL bipolar 64bit
static random-access memory (SRAM), which was nearly twice as fast as earlier
Schottky diode implementations by Fairchild and the Electro technical Laboratory in
Tsukuba, Japan. In the same year, Intel also produced the 3301 Schottky bipolar 1024bit
read-only memory (ROM) and the first commercial metal–oxide–semiconductor field-
effect transistor (MOSFET) silicon gate SRAM chip, the 256-bit. Intel created the first
commercially available microprocessor (Intel 4004) in 1971. The microprocessor
represented a notable advance in the technology of integrated circuitry, as it
miniaturized the central processing unit of a computer, which then made it possible for
small machines to perform calculations that in the past only very large machines could
do. Considerable technological innovation was needed before the microprocessor could
actually become the basis of what was first known as a "mini computer" and then
known as a "personal computer". Intel also created one of the first microcomputers in
1973.
• Challenges to dominance (2000s)

After 2000, growth in demand for high-end microprocessors slowed. Competitors,
notably AMD (Intel's largest competitor in its primary x86 architecture market),
garnered significant market share, initially in low-end and mid-range processors but
ultimately across the product range, and Intel's dominant position in its core market
was greatly reduced,[52] mostly due to controversial Net Burst microarchitecture.
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• Reorganization and success with Intel Core (2005–2015)

In 2005, CEO Paul Otellini reorganized the company to refocus its core processor and
chipset business on platforms (enterprise, digital home, digital health, and mobility).
On June 6, 2005, Steve Jobs, then CEO of Apple, announced that Apple would be using
Intel's x86 processors for its Macintosh computers, switching from the PowerPC
architecture developed by the AIM alliance. This was seen as win for Intel, although an
analyst called the move "risky" and "foolish", as Intel's current offerings at the time
were considered to be behind those of AMD and IBM. On June 27, 2006, the sale of
Intel's XScale assets was announced. Intel agreed to sell the XScale processor business
to Marvell Technology Group for an estimated $600 million and the assumption of
unspecified liabilities. The move was intended to permit Intel to focus its resources on
its core x86 and server businesses, and the acquisition completed on November 9, 2006.
In 2008, Intel spun off key assets of a solar startup business effort to form an
independent company, Spectra Watt Inc. In 2011, Spectra Watt filed for bankruptcy.
In February 2011, Intel began to build a new microprocessor manufacturing facility in
Chandler, Arizona, completed in 2013 at a cost of $5 billion. The building is now the 10
nm-certified Fab 42 and is connected to the other Fabs (12, 22, 32) on Ocotillo Campus
via an enclosed bridge known as the Link. The company produces three-quarters of its
products in the United States, although three-quarters of its revenue come from
overseas.
• Security and manufacturing challenges (2016–2021)

Intel continued its tick-tock model of a microarchitecture change followed by a die
shrink until the 6th generation Core family based on the Skylake microarchitecture. This
model was deprecated in 2016, with the release of the seventh generation Core family
(codenamed Kaby Lake), ushering in the process–architecture–optimization model. As
Intel struggled to shrink their process node from 14 nm to 10 nm, processor
development slowed down and the company continued to use the Skylake
microarchitecture until 2020, albeit with optimizations.
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• Renewed competition and other developments (2018–present)

Due to Intel's issues with its 10 nm process node and the company's slow processor
development, the company now found itself in a market with intense competition.
The company's main competitor, AMD, introduced the Zen microarchitecture and a
new chiplet based design to critical acclaim. Since its introduction, AMD, once unable
to compete with Intel in the high-end CPU market, has undergone a resurgence, and
Intel's dominance and market share have considerably decreased. In addition, Apple
is switching from the x86 architecture and Intel processors to their own Apple
silicon for their Macintosh computers from 2020 onwards. The transition is
expected to affect Intel minimally; however, it might prompt other PC
manufacturers to re-evaluate their reliance on Intel and the x86 architecture.
• IDM 2.0 strategy

On March 23, 2021, CEO Pat Gelsinger laid out new plans for the company. These
include a new strategy, called IDM 2.0, that includes investments in manufacturing
facilities, use of both internal and external foundries, and a new foundry business called
Intel Foundry Services (IFS), a stand alone business unit. Unlike Intel Custom Foundry,
IFS will offer a combination of packaging and process technology, and Intel's IP portfolio
including x86 cores. Other plans for the company include a partnership with IBM and a
new event for developers and engineers, called "Intel ON". Gelsinger also confirmed that
Intel's 7 nm process is on track, and that the first products with 7 nm (It is now called
Intel 4) are Ponte Vecchio and Meteor Lake. In January 2022, Intel reportedly selected
New Albany, Ohio, near Columbus, Ohio, as the site for a major new manufacturing
facility. The facility will cost at least $20 billion. The company expects the facility to
begin producing chips by 2025.
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2.2 Business Process of the Industry
• Capital Allocation
Intel's financial capital allocation strategy emphasizes building stockholder value. They
are focused on three priorities: 1) investing in R&D and capital spending to strengthen
our competitive position, 2) investing in companies around the world that will
complement our strategic objectives and stimulate growth of data-centric opportunities,
and 3) returning cash to shareholders in the form of dividends and share buyback
programs, all while maintaining an investment grade credit rating and financial
flexibility via a strong balance sheet. We returned approximately 90% of free cash flow
to investors from 2015 to 2019.
• Product Development (Primary)

Intel Corporation keeps product development as its primary intensive growth strategy.
Product development supports business growth through new products that increase
revenues. For example, Intel supports its continued growth and global market
dominance through the introduction of new processors that make previous processors
obsolete. This intensive strategy makes the company’s new products attractive and
profitable, thereby ensuring business growth.
Product development and Intel’s differentiation generic strategy both support
competitive advantage based on product quality and features. A strategic objective
based on product development is to grow the company through rapid innovation. A
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related strategic objective based on this intensive growth strategy is to increase Intel’s
R&D investment for new product development.
• Market Penetration (Secondary)

The market penetration intensive growth strategy involves selling more products to
current customers. Intel implements market penetration as a secondary intensive
strategy through business partnerships and aggressive deals that favor growth and a
strong market presence. For example, the company has special agreements with laptop
manufacturers to use Intel microprocessors in their products. The differentiation
generic strategy pushes the company to develop competitive advantage based on
advanced features and high quality in product development. Such features and quality
support the effective implementation of the market penetration intensive strategy for
Intel’s growth. A strategic objective based on market penetration is to grow the
company through aggressive marketing strategies.
• Market Development (Supporting)

The market development intensive growth strategy serves a supporting role in Intel
Corporation’s progress. In implementing this intensive strategy, growth is achieved by
entering new markets or market segments, or by creating new markets for novel
products. In this case, Intel applies market development when it creates entirely new
product lines. For example, the introduction of Pentium mobile processors in 2011
developed the company’s presence in the mobile device market. The differentiation
generic strategy creates competitive advantage that increases Intel’s potential success
in new markets or market segments when implementing the market development
intensive growth strategy. A strategic objective based on this intensive strategy is to
grow Intel through novel products to enter new markets, such as the market for smart
home system.
• Diversification (Supporting)
Intel uses diversification as a supporting intensive growth strategy. This intensive
strategy facilitates the company’s growth through new business. For example, the 2016
acquisition of the German company Ascending Technologies, which develops unmanned
aerial vehicles, contributed to the diversification of Intel’s business.
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The differentiation generic strategy, when applied within the context of diversification,
ensures the company’s competitive advantage through products that attract target
customers. A strategic objective based on the diversification intensive strategy is to
grow Intel’s business through more acquisitions in other industries.
• Improving Execution
Intel is committed to continuous product innovation. Intel's preoccupation is their
clients' success, and their aim is to provide the technological leadership and
dependable, high-quality goods they want. Faultless execution is required for software
and silicon solutions that generate quantifiable and scalable benefits for their
customers.
Intel’s five Pillars of Technology Innovation include:
• Process and packaging

They are developing a new generation of compute engines that mix and match
diverse process technologies before connecting them to high-performance, low
power packaging technologies like EMIB and Foveros, the industry's first
implementation of stacked processing components.
• xPU architectures
They are designing processors that span four major computing architectures,
moving us toward an era of heterogeneous computing.
• Advanced interconnect
We deliver leading technologies that scale from microns to miles across all
interconnect layers—spanning on-die, on-package, data center, and long
distance networks.
• Security
They are dedicated to assisting our customers and industry partners in
developing new and industry partners in developing new and innovative ways
to improve security. Together with customers and partners, intel is building a
more trusted foundation in this data centric world.
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• Software
Intel’s software unleashes the potential of hardware across all workloads,
domains, and architecture.
2.3 Market Demand and Supply – Contribution to GDP – Revenue Generation
Market Demand and Supply

Intel’s high demand has been of particular note since mid-2018. Since the discovery of
hardware vulnerabilities such as Spectre and Meltdown, and the fixes that reduced
overall performance of a large number of the installed server base, many of Intel
customers have been increasing the size of their server deployments in order to
rematch their original capacity. This issue caused a sharp up-tick in demand of Intel
processors, and Intel has driven newer architectures that try to minimize those
performance deficits. As a result, Intel moved some of its fabrication capacity away from
its future 10nm process and back onto its 14nm in order to meet demand. The
consequence of this is record revenues for Intel – the company shifted a lot of
production into its high core count and high-cost parts. Intel is also making steady
progress increasing CPU supply. Through their investments, focused execution and
tighter customer collaboration, they expect their PC CPU supply will be up mid-single
digits this year while we expect the PC TAM to grow slightly. Intel will continue to work
with their customers to meet their required product mix and ramp additional capacity
to ensure they are not a constraint on their growth.
They lost a little bit of share in the second quarter, particularly in CSG at the lower end
small core primarily due to supply constraints. So and their expectation is that they will
begin to work their way back in the second half of the year given the capacity we've put
in place to have more supply and meet their customer demands.
With the recent launch of Comet Lake in the mobile space, Cascade Lake in the
enterprise and workstation space, and the future launches of similar product lines,
users and Intel’s partners are expecting a strong supply of CPUs with the generational
update.
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Intel continues working to improve the supply-demand balance for their PC customers.
In the first half of 2019, Intel saw PC customer demand that exceeded their expectations
and surpassed third-party forecasts. They have added 14nm output capacity and are
ramping volume on 10nm with systems on shelf for holiday. While their output capacity
is increasing, Intel remains in a challenging supply-demand environment in their PC
centric business. They are actively working to address this challenge, and continue to
prioritize available output toward the newest generation Intel® Core™ i5, i7 and i9
products that support our customers’ high-growth segments.
This essentially partially confirms Digi times report. While Intel is increasing its output
capacity, with a focus on 10nm as well (Intel reports two fabs on 10nm at this time), the
focus on 14nm will be on high-growth segments, which for Q4 is likely to remain the
high-end processors. Partners looking at Core i3 and lower performance cores might
have to extend their lead-times for CPU supply yet again. It will be interesting to see
when Intel will be able to re-reach parity between demand and supply.
Contribution to GDP
Since its founding, Intel has been at the forefront of innovation in the United States. As
the largest U.S.-owned semiconductor manufacturer, Intel is the only leading-edge U.S.
semiconductor company that both develops and fabricates its own technology. It is
estimated that Intel directly contributed $25.9 billion of value added or GDP to the US
economy in2019.
Intel’s operational spending indirectly contributed an additional $43.2 billion to the US
economy in 2019, while its capital investment and distribution channel impact added
another $14.7 billion and $18.0 billion of GDP, respectively. Combining the operational
spending, capital investment, and distribution channel impacts, Intel’s total GDP impact
on the US economy was $102.0 billion, accounting for one half of 1 percent of US GDP in
2019. The economic impact of Intel on the U.S. economy and the states where Intel has
its largest U.S. presence: Arizona, California, New Mexico and Oregon. The impact is
defined in terms of employment, labor income and gross domestic product using data
from fiscal year 2019. Intel’s economic contributions extend nationwide and throughout
all sectors of the economy, some of these are:
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• Intel employs approximately 52,000 people across the country.

• Each job at Intel is estimated to support 13 other jobs elsewhere, meaning Intel
directly or indirectly supported more than 700,000 full-time and part-time jobs
in the U.S.
• Intel directly contributed $25.9 billion to U.S. GDP in 2019.

• Intel’s total direct and indirect GDP impact on the U.S. economy, $102.0 billion in
2019, accounted for one half of 1 percent of U.S. GDP.
Intel contributed an excess of $3.89 billion to Arizona’s economy in 2019, according to a

new report that measured the company’s economic impact on several Western states.
Intel Corp, which is based in Santa Clara, California, has its most significant direct
economic impacts in Oregon, California, Arizona and New Mexico. All told, the company
directly contributed $25.9 billion to the U.S. economy in 2019. It is found that Intel’s
52,000 employees contributed to more than $102 billion in both direct and indirect GDP
impact on the total U.S. economy in 2019.
Revenue Generation
Intel Corporation is a multinational company whose main business is in the
manufacturing of semiconductor chips. Headquartered in Santa Clara, California, the
company was founded in 1968 by the scientists Robert Noyce and Gordon Moore.
It is one of the world’s largest and most valuable semiconductor chip makers,
generating over 79 billion U.S. dollars in global annual revenue in 2021.
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Intel has steadily increased its annual research and development expenditure,
surpassing 15 billion U.S. dollars in 2021, supporting the company as it maintains its
position in the market by continuing to develop innovative products and services. In
2021, Intel generated 40.51 billion U.S. dollars in revenue from its Client Computing
Group. That same year, Intel employed around 121 thousand employees worldwide.
Intel Corp. diversified their computer processor market as these processors are not
lucrative for the companies with higher workloads. So, the company manufactures
platform products designed for use in notebooks, tablets, phones, and other mobile
communication products. This segment contributes around 51% of total revenue by the
company. Q4 FY 2019 reported the revenue of $10.01 billion, up by 2% compared to Q4
2018 because of the higher sale of modems and desktop platform volumes. During the
year 2019, the company recorded the sale of Intel’s more top performance products and
strengthened its gaming and commercial modem segment.
Though the company recorded YoY lower platform volume but got partially offset by the
retail market as the PC market remained stable. The revenue has grown from $34 billion
in 2017 to $37.1 billion in 2019, the reason attributed to steady growth in selling prices,
and an increase in demand from emerging markets.
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Around 2013 Intel set a plan and strategy to transform itself from a PC-centric to a data
centric company. By 2018 this objective was almost accomplished at least from a
revenue’s standpoint. The company generated around 37 billion dollars from PC-centric
products. While it made nearly $34 billion from data-centric products. As of 2018, 32%
of Intel revenues came from its essential data-centric products. While its PC-centric
products represented around 52% of its revenues as in 2018. While Intel is successfully
transitioning its transformation to become a data-centric company, from a purely
financial standpoint, the company is highly profitable. With over $70 billion revenues in
2018 and over $21 billion in net income in 2018, due to its end to end strategy in
innovative areas like cloud computing, 5G network, AI and analytics, edge computing,
and more.
While Intel is successfully transitioning its transformation to become a data-centric

company, from a purely financial standpoint, the company is highly profitable. With
over $70 billion revenues in 2018 and over $21 billion in net income in 2018.
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2.4 Level and Type of Competitors – Firms Operating in the Industry. Intel
Corporation (INTC) is an American multinational corporation and the largest
publicly traded semiconductor chip maker in the United States. It has six distinct
operating segments, with at least one competitor in each.
• The industry in which Intel operates experiences heavy competition. Apart from
the rapidly changing technological environment, there are several other factors
like fast-changing customer needs, as well as market developments too make the
industry environment highly challenging. Intel both needs to anticipate and
respond to these changes swiftly to remain competitive. Intel faces intense
competition from companies with a similar product portfolio. To stay
competitive, Intel must retain its focus on research and development. If the
company does not make a significant investment in research and development
every year, it will not be able to maintain its competitive position in the market
successfully.
• In the PC client operating and revenue segment, Intel Corporation’s most
significant rivals are personal computer processor manufacturer Advanced
Micro Devices; American multinational technology company IBM; and graphics
processors and system-on-a-chip unit manufacturer, Nvidia.
• In the DEG microprocessor segment, Intel’s one major competitor is Microchip
Technology (MCHP), an American producer of microcontrollers, memory and
analogue semiconductors. n the data centre group segment,
• Intel’s primary competitors include EMC Corporation, an information
infrastructure company; LSI Logic, which was acquired by Avago Technologies
(AVGO) in May of 2014; computer storage and data management company,
NetApp; and PMC-Sierra, the MIPS processor, and semiconductor producing
company.
• Other significant rivals in this market segment include application delivery
networking product producer, F5 Networks; American multinational computer
technology company, Oracle (ORCL); and IBM (IBM).
• Several of the most well-known tech companies in the world also compete with
Intel in this market, including computer giant Hewlett-Packard, software titan
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Microsoft and perhaps the most dominant tech company in the world, Google
(GOOG).
The following are some of the advantage Intel have against its competitors:
1. Intel's global, internal factory network

It is a key competitive advantage that Intel has which enables product optimization,
improved economics and supply resilience. Today, Gelsinger re-affirmed the company's
expectation to continue manufacturing the majority of its products internally. The
company's 7nm development is progressing well, driven by increased use of extreme
ultraviolet lithography (EUV) in a re architected, simplified process flow. Intel expects
to tape in the compute tile for its first 7nm client CPU (code-named "Meteor Lake") in
the second quarter of this year. In addition to process innovation, Intel's leadership in
packaging technology is an important differentiator that enables the combination of
multiple IPs or "tiles" to deliver uniquely tailored products that meet diverse customer
requirements in a world of pervasive computing.
2. Expanded use of third-party foundry capacity.

Intel expects to build on its existing relationships with third-party foundries, which
today manufacture a range of Intel technology – from communications and connectivity
to graphics and chipsets. It is expected that Intel's engagement with third-party
foundries to grow and to include manufacturing for a range of modular tiles on
advanced process technologies, including products at the core of Intel's computing
offerings for both client and data center segments beginning in 2023. This will provide
the increased flexibility and scale needed to optimize Intel's roadmaps for cost,
performance, schedule and supply, giving the company a unique competitive advantage.
3. Building a world-class foundry business, Intel Foundry Services.

Intel announced plans to become a major provider of U.S.– and Europe-based foundry
capacity to serve the incredible global demand for semiconductor manufacturing. To
deliver this vision, Intel is establishing a new standalone business unit, Intel Foundry
Services (IFS) will be differentiated from other foundry offerings with a combination of
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leading-edge process technology and packaging, committed capacity in the U.S. and
Europe, and a world-class IP portfolio for customers, including x86 cores as well as ARM
and RISC-V ecosystem Ips. It was noted that Intel's foundry plans have already received
strong enthusiasm and statements of support from across the industry.
Firms Operating in the Industry
1. Taiwan Semiconductor Manufacturing Co. (TSMC)

TSMC is the world’s largest semiconductor foundry. The company manufactures chips
using 3-nano-meter tech, making it the go-to producer for advanced semiconductors. In
2020, TSMC’s revenue increased 25.2% to $47.78 billion. TSMC generates more than
double Intel’s revenue, but it has 56,831 employees – about half of Intel’s workforce.
TSMC is building a $12-billion chip plant in Arizona scheduled to open in 2024. With
this facility, TSMC will go head-to-head with Intel on American soil. Intel competitors
like AMD, Qualcomm, and Nvidia rely on TSMC for production. TSMC is Intel’s top
competitor and alternative in the chip making industry. In 2020, TSMC’s chip business
accounted for 54% of total foundry revenue globally. The chip giant will spend a record
$28 billion in 2021 alone to increase its capacity and leadership of the sector.
2. Advanced Micro Devices, Inc. (AMD)

AMD is a global tech company specializing in semiconductors used in integrated circuits
for PCs. In 2020, AMD’s revenues surged 45%, from $6.73 billion in 2019 to $9.76
billion. The company saw a 630% increase in profits to $2.49 billion in 2020, with a
whopping 948% jump in Q4. AMD has around 10,000 employees, about a tenth of Intel’s
workforce. Like Intel, AMD also develops flash memories, motherboard chips, and
graphics processors.
Its processors are used in gaming consoles, PCs, CPUs, and devices for manufacturing
and telecom. Intel has increased the gap in the x86 CPUs market for two consecutive
quarters. Intel’s market share in Jan 2021 was 66.51%, versus 33.49% for AMD. By Jun
2021, Intel had gained 5% to 71.58% at the expense of AMD. But AMD still powers 28%
of gaming consoles. It is the world’s second microprocessor manufacturer with 20.5%
of the market. AMD is Intel’s top competitor and alternative.
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3. Nvidia
Nvidia is a multinational tech company that designs graphics processing units and chips
for mobile computing, gaming consoles, autos, and other markets. It also develops GPU
processors for 3D graphics, virtual reality, and AI-powered devices. vidia is in the
process of acquiring ARM from Softbank for $40 billion. Cambridge-based ARM is a
leading semiconductor licensor and one of Intel’s top competitors. The acquisition was
expected to close by Mar 2022, but the deal is in jeopardy due to ARM’s unique role in
the market. Most of Nvidia’s competitors like Qualcomm, Microsoft, Google, and Huawei
use ARM’s semiconductor blueprints to manufacture their chips. They filed a complaint
arguing that Nvidia can make it harder for them to access ARM’s technology. If Nvidia
acquires ARM, it will overtake AMD to become Intel’s #2 competitor.
4. Samsung
Samsung is the world’s largest memory chip and smartphone maker with over 300,000
employees. The company controls about 5% of the microprocessor market and
competes with Intel. In 2020, Samsung’s revenue was $197.69 billion. The main
competitive advantage for Samsung over Intel is its immense financial capability. The
company will spend more than $10 billion to build an advanced logic chipmaking plant
in Austin, Texas. Construction will commence in the second half of 2021, with plans to
install manufacturing tools from 2022 and begin operations in 2023. Over the next ten
years, Samsung will invest $116 billion in its chip design business. Samsung can
leverage its vast financial resources to grab Intel’s market share and become the
dominant player in the chip industry.
5. Advanced RISC Machine (ARM)

ARM is a leading chip technology company, with 8611 employees in 37 locations
globally. The company manufactures processors and has nearly 1,800 licensees for its
chip designs. In the first half of 2020, ARM saw a 22% increase in sales to $992 million.
The company generates over $1.5 billion in revenues annually. In 2016, SoftBank
acquired ARM for $31.4 billion, and its ownership is changing again in 2021.
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Nvidia is buying ARM from Soft bank for $40 billion – $12 billion in cash, $21.5 billion
in stock, and $5 billion in cash/stock. This acquisition increases ARM’s competitive
edge. But ARM is a formidable Intel rival in its own right. Currently, ARM-based chips
power around 70% of the world’s autos, data centers, and consumer electronics. ARM is
a worthy Intel competitor.
6. Broadcom
Broadcom is one of the fastest-growing chipmakers for 5G-enabled phones. It develops
semiconductors, controllers, and processors. In 2020, Broadcom’s revenues surged by
5.71%, from $22.6 billion in 2019 to $23.89 billion. Broadcom struck an agreement with
Apple for the iPhone maker to buy $15 billion worth of smartphone chips from 2021 to
2023. The company also makes chips for Nokia’s 5G base stations, giving it access to the
5G infrastructure market. All these lucrative revenue streams increase Broadcom’s
competitive advantage over Intel.
2.5 Pricing Strategies in the Industry

Intel Corporation is a leading semiconductor firm that applies a marketing mix that is
heavily focused on advertising and public relations to promote premium-priced
technological products.
The marketing mix, also known as the 4Ps (Product, Place, Promotion, and Price), is the
combination of strategies, tactics and tools used to support a firm’s goals in selling its
products in certain target markets. Intel’s marketing mix is common among technology
firms, especially because of the emphasis on advertising and the use of the premium
pricing strategy.
Price points and ranges are considered in this aspect of the marketing mix. Intel’s prices
are based on evaluations of market conditions, as well as the overall competitive
advantage of the company relative to other firms in the semiconductor market. Intel has
the following pricing strategies:
1. Premium Pricing Strategy

Intel Corporation uses the premium pricing strategy to maximize its profits. In this
strategy, the company’s prices are relatively higher than those of competitors, such as
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AMD. The advantage of this pricing strategy is that it maximizes the profit margin. A
main disadvantage is that it is difficult to implement and could fail in a price-sensitive
market.
Intel succeeds in using this pricing strategy by maintaining a premium brand with a
corresponding high perceived value, based on the perceptions of target consumers. For
example, the company advertises its brand and products as leaders in the
semiconductor industry. In doing so, consumers maintain the perception that Intel
products are better than the competition. This condition enables the company to sell
its products at higher prices and expect growing revenues despite cheaper products
from competitors.
2. Market-Oriented Pricing Strategy

The market-oriented pricing strategy involves determining market conditions and the
prices of competitors. Intel uses this pricing strategy to guide the adjustment of
premium prices.
The company continues to use the premium pricing strategy as the main strategy for
setting prices. Based on this aspect of its marketing mix, Intel ensures high profits
through premium prices, which are supported through premium branding.
3. Price leadership
Price leadership is the strategy of setting prices much lower than those of the
competition. It occurs most often in an oligopoly, or state of limited competition. When
there's lots of competition of varying qualities and value propositions, each firm can set
prices relatively independent of one another Intel being the market leader, has always
been the price dictator in the market.
4. Skimming Price Strategy

Intel uses price skimming strategy at the time of introduction of its products into the
market, price skimming is defined as is a pricing strategy which involves setting a
product/service at a high price when it first enters the market to ‘skim’ segments of the
market who are willing to pay the higher price.
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A business will then gradually lower its pricing to reach the more price-sensitive
markets and to align with competitors who have entered the market during this time.
2.6 Industrial Performance Global, National and Regional basis

The continued proliferation of technology is driving sustained, long-term demand for
semiconductors, creating a $1 trillion market opportunity by 2030. Intel chief executive
officer. “With that opportunity in mind, today we outlined our strategy and roadmap for
accelerating to 10%-12% year-over-year revenue growth by 2026 by doubling down on
innovation, driving even deeper collaboration with our customers and partners, and
leveraging our core strengths to successfully grow traditional markets and disrupt new
ones.
Intel provided its outlook for the full-year 2022. For 2022, Intel expects revenue of $76
billion; non-GAAP gross margin of 52%; non-GAAP EPS of $3.50; and net capital
expenditures of approximately $27 billion. Adjusted free cash flow is expected to be
negative $1 billion to $2 billion as the company ramps its investments to accelerate
long-term growth. Intel’s digital transformation was well underway when the COVID-19
pandemic made computing power even more essential and caused us to expedite our
plans. As an essential industry, Intel’s ability to meet its customers’ demands for
additional product depended on keeping employees safe and productive under
extraordinary circumstances. They needed to enable their worldwide manufacturing
operations to continue uninterrupted even as the world changed overnight.
As Intel takes advantage of disruptive technologies like artificial intelligence (AI), edge-
to-cloud, 5G and multi-cloud, their products become more intelligent and highly
integrated, driving greater complexity and an increase of transformative programs.
Intel IT sees this as an opportunity not only to help drive Intel’s product innovation but
also fundamentally change the way we do business. They are rapidly embracing new
technologies, adopting differentiated hyper scale computing, and have doubled our high
performance computing (HPC) capacity to simulate new complex product architectures
in their energy-efficient data centers. Furthermore, the value proposition of AI is being
realized across Intel. Intel’s manufacturing tools, customer interactions, testing and
validation tools, and other sources generate petabytes of data.
45
We use this data to better understand customer needs so our salespeople can better
serve them. Intel also use data to enable them to intelligently and efficiently determine
the right product performance and pricing structure for the customers. They are
speeding delivery of new products to customers by consolidating isolated data puddles
into a single repository for software and intellectual property (IP) used in product
development. These solutions and others help transform both their employees’ work
and Intel’s relationships with customers. Intel’s purpose is to create world-changing
technology that enriches the lives of every person on Earth. Intel’s purpose is to create
world-changing technology that enriches the lives of every person on Earth. That
purpose will inspire us to build on our achievements and learnings from 2020 to create
more value and more growth for their employees, customers, and partners. Longer
term, Intel expects year-over-year revenue growth moving to the mid- to high-single
digits in 2023 and 2024, with year over-year growth ramping to 10%-12% by 2026.
Intel raised its annual sales outlook on booming demand for personal computers, but its
second-quarter profit forecast fell short of analyst expectations as the company spends
heavily to get its manufacturing operations back on track and catch up to rivals with
faster chips. Intel fumbled new manufacturing technology in recent years, causing it to
fall behind rivals such as Advanced Micro Devices (AMD) and Nvidia in the race to make
faster, smaller chips. Intel said its PC chip business had sales of $10.6 billion in the first
quarter, ahead of analyst expectations of $10.17 billion in 2021.
Intel’s largest business, its client computing group, was down 2% year-over-year to $9.7
billion in 2021. That includes PC chip revenue. Intel said that PC sales were down
primarily due to lower laptop volumes because of the chip shortage, and that its
customers may have lacked other parts it needed to finish assembling computers.
46
In the first quarter of 2022, 65 percent of x86 computer processor or CPU tests recorded
were from Intel processors, up from the lower percentage share seen in previous
quarters of 2021, while 34.9 percent were AMD processors. When looking solely at
laptop CPUs, Intel is the clear winner, accounting for 75 percent of laptop CPU test
benchmark results in the first quarter of 2022. To be precise, in Q3 and Q4 of last year,
Intel’s share of CPUs has increased from around 50% to almost 60%, a pretty big swing
in Team Blue’s favor for the second half of 2021. Intel desktop processor sales have
been on the rise since mid-2021 (again), with sales of Core i5 CPUs booming in
particular, and also Core i7 models up fairly strongly, with a marked decline in AMD’s
sales powerhouse which is Ryzen 5 chips.
47
Intel missed estimates for its data center segment, with sales of $6.5 billion compared
with estimates of $6.6 billion. Intel reported adjusted sales for the third-quarter ended
Sept. 25 of $18.1 billion, missing estimates of $18.24 billion.
On a non-GAAP basis, Santa Clara, California-based Intel reported net income of $6.1
billion (down 27% from a year earlier but above Intel’s own guidance), or $1.09 a share,
on revenues of $19.5 billion, up 4% for the fourth quarter ended December 31,2021.
Giving an unexpected long-range forecast, Intel said it expects at least $74 billion in
revenue in 2022 end, higher than analyst estimates of $73 billion. But the company also
plans to spend heavily, saying that capital expenditures could reach $25 billion to $28
billion in 2022 and rise in subsequent years.
2.7 Prospects and Challenges in the Industry

We are raising the bar for ourselves and evolving our corporate responsibility strategy
to increase the scale of our work with others to create a more responsible, inclusive, and
sustainable world, enabled through technology and our collective actions.
• Increase Diversity in Our Global Workforce
They are working to increase the number of women in technical roles to 40%, double
the number of women and under represented minorities in senior leadership, and
ensure that inclusive leadership practices and accountability are embedded in their
culture globally.
48
• Advance Supplier Diversity and Inclusion

Diverse suppliers provide new perspectives and solutions to improve the ways Intel
operate. Intel spent $1.2 billion with diverse-owned suppliers in 2020, making progress
toward their 2030 goal to reach $2 billion annually.
• Make Technology Fully Inclusive and Expand Digital Readiness They aim to
partner with 30 governments and 30,000 institutions worldwide to empower more
than 30 million people with AI skills training for current and future jobs. The Intel® AI
For Youth program, for example, empowers students to learn while creating their own
social impact projects.
• Advance Sustainable Global Manufacturing Practices
By 2030, Intel will achieve net positive water use, 100% renewable power, zero total
waste to landfill, and additional absolute carbon emissions reductions, even as they
grow their manufacturing capacity.
• Achieve Carbon-Neutral Computing
Intel is working with their customers and others to transform product energy use and
apply technology to reduce computing-related climate impacts across the global
economy. This includes collaboration with PC manufacturers to build the most
sustainable and energy-efficient PCs on the planet—systems that minimize carbon,
water, and waste in their design and use.
• Drive Technology Industry Collaborations

Intel will create a collective approach to reducing emissions for the semiconductor
manufacturing industry and advancing sustainable chemistry practices.
Intel is also opening up its plants to third-party fabless chipmakers to compete against
TSMC and Samsung. Gelsinger believes Intel will catch up to TSMC and Samsung in the
process race by 2024 then reclaim the lead by 2025.
Challenges in the Industry

The daunting challenges faced by Intel includes:
• A manufacturing dilemma.
It suffered an embarrassing miss in delivering on its 7 nm process technology. It is
sourcing manufacturing of some of its chips to partners like TSMC, but in-house
manufacturing has been almost a religion at Intel. Gelsinger will need to negotiate the
49
sticky balance of what is outsourced and what remains Intel IP. This will prove one of
his biggest challenges. Supply chain vulnerabilities exposed by the COVID-19 pandemic
complicate this strategy. One of Third Point Management's big goals is to force Intel to
outsource more of its manufacturing. Some outsourcing makes sense, but process
superiority can be a competitive advantage for some chips. Forrester believes it should
fix its processing issues rather than concede defeat here.
• Lost opportunity in IoT and mobile.

Mobile devices like phones and tablets demand extremely low power consumption on
the chips inside – especially the processor. Arm-based designs dominate here and are
poised to lead in the burgeoning market for IoT devices. Intel has products here. It is too
late to rescue mobile phone potential, but IoT is still anyone's game. Gelsinger will need
to reinvigorate products in this sector to capitalize on IoT growth.
• Rich but risky opportunities in edge computing.

Often aligned with IoT opportunities, edge computing is the next big wave of
infrastructure. Many of the initial product roll outs from players like Cisco, Dell, and
HPE are based on x86 designs because they are often smaller form factors of existing
server designs. A more heterogeneous future is coming and Intel needs to dominate
here to maintain its compute leadership. It also needs to romance non-traditional tech
companies like ABB, Johnson Controls, and Siemens. These industrial players will be
strong forces in edge computing that will seek partnerships with embedded technology
providers like Intel.
• Declining data center volumes and margins.

Ignore proclamations of the data center's demise; however, one cannot ignore the
decline we see in data center hardware. Cloud computing stole a lot of this capacity and
edge will steal more, but the data center isn't going away. It is a market almost
completely dominated by x86 – and specifically Intel x86 – but lower spending means
Intel needs to alter its margins here. If not, AMD will siphon off more of this dwindling
but still huge – market.
50
• Voracious appetite for high-performance AI compute.

One hot area of compute serves the intensive requirements for AI workloads like
machine learning and inferencing. The x86 architecture is suboptimal for such demands.
In its place, GPUs, so-called XPUs, and even custom processors are gaining traction.
NVIDIA has been the big winner here. Gelsinger will need to prioritize investment to
gain share in this important high-performance compute market.
• Geopolitical tensions.
The trade war that erupted between the US and China puts significant pressure on tech
vendors in both countries, while all other nations feel caught in the crossfire. The US
placed embargos on Chinese technology and China retaliated against American
technology. Chinese system-level tech companies like Huawei and Lenovo are struggling
with the on-again, off-again sanctions against using US chips. In response, they are
trying to develop their own processors. It is an excruciating pursuit, but one that can
have immense global implications.
• Opportunities abound in programmable processors

Forrester believes composable hardware is a great concept that has been brewing for a
few years. Most composable products are system level rack hardware that can be
reconfigured via software models. You change the model, apply it to the hardware, and
you have a different server. Custom processors to optimize workloads like AI are
coming, but you can't redesign the silicon for each one. Programmable chips like FPGAs
show promise. In the future, you can have a processor optimized to a very specific
purpose and it will be economical with great performance. Gelsinger will need to make
Intel the household name for such products.
51
CHAPTER-3
DISCUSSION
3.1 Objective Assessment – Observation by the candidate
PRODUCTION DEPARTMENT:
The production department of a business is responsible for the production of goods that
are used by a company, the specific design of those goods and the way in which the
goods are produced. Every aspect of production of goods and the creation of low costs is
decided within the production department of a company.
The production department can be the largest organization within a business. It may
employee mechanics, machine setup specialists, maintenance personnel, and
machine operators. A key focus of the production department is efficiency. In
between the processes of production, the department works to improve the
efficiency of the production or assembly line so that it can meet the output targets
set by company management and ensures finished products offer consumers the
best value and quality
COMPARISON:
• The Purchasing department will be responsible for providing the materials,

components and equipment required to keep the production process running
smoothly.
• The purchasing team receives the requisition of resources from the production
team. The production team acquired the necessary resources for producing the
desired product.
• Production department is the buyer / End User. Purchasing team helps the end user.
• Purchasing department is facilitator in procurement / supply chain.
• To Purchase department, Production department is a Client in a wider sense, in
narrow sense, it is a customer.
52
OBSERVATION:
• Production Department is the department which directly involves in

manufacturing products. Examples are the machining, finishing, and assembling
departments.
• Production Department is the functional area responsible for turning inputs into
finished outputs through a series of production process.
• The production manager is responsible for making sure that raw materials are
provided and made into finished goods effectively. He must make sure that work is
carried out smoothly, and must supervise procedures for making work more
efficient and more productive.
• Production department is responsible for creating the finished products which the
company needs to sell to earn a profit.
• The combination of artificial intelligence and yield engineer’ knowledge enables

Intel to manufacture more products. Intel processors are manufactured according to
the needs and required specifications of its customers.
• Intel products are manufactured in fabrication plants which are then sent to
assembly and testing sites before delivery to customers.
3.2 Specific Learning Outcomes
Production department is important in an industry as it improve the efficiency of the

production or assembly line so that it can meet the output targets set by company
management and ensure finished products offer consumers the best value and quality.
It is also responsible for the designing of the goods or products of the business which
are sold to other businesses or to the general public. It is important as it ensures that
the products or goods are produced s at very low costs in order to maximize profit.
Duties of Production department may have the following:
53
1. Identifying Inputs: A business determines the quantity or volume of goods that

should be produced within a certain time frame and passes the information to
the production department. To meet production targets, the department
establishes the quantity of raw materials and types of machinery and equipment
required to achieve the desired output level, and may collaborate with the
purchasing department to source the inputs.
2. Scheduling Production: This involves planning the tasks to be completed along

the production line and allocating the tasks to various production workers.
3. Ensuring Product Quality: The department must perform rigorous tests on

prototypes for new products to ensure they meet quality benchmarks before
undergoing mass production. Techniques such as waste elimination and process
standardization also help to ensure and improve product quality.
4. Improve Existing Products: From time to time, the production department will
furnish the research and development department with information it can use to
improve existing products.
3.3 Contributions
These are the following improvements that can done to improve the Production
department of Intel:
1. Analyzing current workflows:
Intel’s working performance can be improved by the following:
• Personnel: Right people should be placed at the right jobs
• Processes: Mapping out and evaluating processes to find out bottlenecks and
obstacles.
• Tools and technology: To maintain machinery and equipment in a good
condition and using the latest technology to meet the business requirements
and to produce products at a higher speed and with greater efficiency.
54
2. Modernizing processes and technologies:

After mapping out current workflows, next comes determining whether the processes
and technologies should be modernized or improved. It includes using new software to
improve planning, inventory control and monitoring and upgrading the current
equipment and machinery.
3. Special attention to planned maintenance:

One of the main causes of poorly performing production processes of Intel is a lack of
planned maintenance.
You can beef up your planned maintenance program by taking the following measures :
• Training all operators and maintenance technicians well so that they can
respond quickly and effectively when a problem arises.
• Set fixed dates and times at regular intervals for your planned maintenance.
• Don’t postpone maintenance for too long – the longer the delay, the worse
any hidden problems become.
4. Training Staff:
The staff should be kept up to speed, this will help to operate the machinery and
equipment in a better way which will allow the production to run smoothly and
continuously in general for all businesses.
5. Workforce planning:
Workforce planning aligns an organization’s priorities and requirements to those of its
available personnel. It primarily addresses factors such as:
• Scope
• Mix
• Costs
• Flexibility
Workforce planning makes it easier to optimize every companies operating
costs, gives you greater control over staff turnover, pinpoints potential skills gaps, and
55
helps you establish the right training and education programs which will help for the
smooth functioning of the department.
6. Reducing labor turnover:
Retention and procurement of skilled employees is a problem faced by all business not
only at Intel, it can be done by proper training methods and motivation techniques,
providing both monetary and non-monetary benefits etc. This will help to attract more
skilled personnel and helps the company to retain them which in turns will increase the
efficiency and effectiveness of the production processes and overall department itself.
56
CHAPTER – 4
FINDINGS
• The exponential rate of increase in die sizes, coupled with a decrease in defective
densities, with the result that semiconductor manufacturers could work with
larger areas without losing reduction yields.
• The arrival of metal–oxide–semiconductor (MOS) technology for faster

production is the reason for increased efficiency of the department and
manufacture of high-quality processors of Intel.
• As the cost of computer power to the consumer falls, the cost for producers to
fulfill Moore's law follows an opposite trend: R&D, manufacturing of products,
and test costs have increased steadily with each new generation of chips.
• It takes into account the taste and preference and suitability of Intel’s clients and
manufactures products according to their specifications with the help of its four
functions, it not only helps to reduce the company’s costs but also helps to
provide excellent customer service.
• It also engages with their suppliers to help reduce climate and water impacts,
reduce waste and identify circular solutions, advance green chemistry and foot
printing practices, and identify collaboration opportunities. For the fourth
consecutive year, they received a Leadership score in CDP’s Supplier
Engagement Rating for their work to engage their suppliers to expand their
climate and water disclosure.
SUGGESTIONS:
• To make better stock coolers to prevent over heating while running modern
applications like games, video editor apps etc.
• Creating different classes of CPU’s tailored towards different needs
• Intel should focus high-margin areas where they can sell the product to premium
customers.
57
• They need to sort out the problems with their 10nm process and continue to
develop new processes after that.
• The major issue that Intel needs to address is its Human capital Management
issue as many of the skilled, experienced, and talented designers have changed
the company as a result of being demoralized by the status quo.
• Releasing processors with higher base frequency will get them on track with
competing against other industry in the field.
58
BIBLIOGRAPHY
1. https://en.wikipedia.org/wiki/Intel
2. https://fortune.com/company/intel/
3. https://www.123helpme.com/essay/Competitive-Advantage-Case-
StudyIntel-Corporation-383022
4. https://businessquant.com/intel-revenue-by-segment
5. https://www.abc15.com/news/business/intel-contributed-3-89-billion-
toarizonas-gdp-report-finds
6. https://www.togoh.co.jp/english/company/customer.html
7. https://www.intel.in/content/www/in/en/company-
overview/companyoverview.html?cid=sem&source=sa360&campid=2022
_q1_smg_in_gmooth_ gmooth2_bp_text-link_brand_phrase_cd_intel-
brand_3002156482MO2200614_google_b2b_oos_pbm_intel&ad_group=bra
nd_intel-in-brandcorporate_b2b2-
con&intel_term=intel+corporation&sa360id=43700068768940795&gclid=
CjwKCAjwloCSBhAeEiwA3hVo_UnwKO2kcT_PlgAU_6pbUZRp8lRLkwax4QC
1tLk-
RFUngxpcCXW3BoCpbEQAvD_BwE&gclsrc=aw.ds
8. https://www.forbes.com/sites/patrickmoorhead/2016/04/28/intels-
newstrategy-is-the-right-one-for-the-company/?sh=7347028441e3
9. https://www.intc.com/intel-online-annual-report/our-strategy
10. https://abcnews.go.com/Technology/wireStory/intel- unveils-
88bchipmaking-expansion-plan-europe-83457037
11. https://www.forbes.com/sites/davealtavilla/2021/03/24/intels-
20bexpansion-plan-and-gelsingers-leadership-is-just-what-the-
doctorordered/?sh=3bfc8424f48d
12. https://www.intel.com/content/www/us/en/newsroom/news/eu-
news2022-release.html#gs.wnv9iw
13. https://www.macrotrends.net/stocks/charts/INTC/intel/revenue
59
14. https://venturebeat.com/2022/01/26/intel-beats-q4-expectations-
asdatacenter-sales-grow/
15. https://www.techradar.com/in/news/intel-cpus-are-clawing-back-
salesas-amd-seemingly-stalls
16. https://www.intel.com/content/www/us/en/newsroom/news/intelhighli
ghts-2022-long-term-growth-strategy-investormeeting.html#gs.wnvfmt
17. https://www.investopedia.com/ask/answers/120114/who-are-intels-
intcmain-competitors.asp
18. https://www.volza.com/companies/intel-impex-resources-pvt-
ltd338744.aspx
19. https://www.intel.com/content/www/us/en/policy/policy-trade.html
60

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AN ORGANISATIONAL STUDY IN INTEL

1.1 Brief history of the Organization and Current Board of Directors

Current Board of Directors

• Patrick Gelsinger (CEO)

1.2 Mission/Vision Statement and Quality Policy followed/ Quality Certification

• Their consumers are prioritized. To provide world-class quality and an

has been assessed and deemed to comply with the

Assembly and Test of Semiconductor Components,

Registration Number: 19.4326

1.3 Business Process of the Organization- Product profile

1. promote and accelerate open software stacks in the AI sector.

variety of AI methodologies. Customers may now incorporate AI into everything

1.4 Customers of the Organization – Level of Operations

• Companies that create computers and designs include:

Intel in New Mexico

1.5 Competitors of the Company

1.6 Strategies – Business, Pricing, Management

• Innovation Strategy to Lead World of Semiconductors

• Driving the AI and Autonomous Revolution

It is establishing market leadership by inventing Road Experience Management for real-

• Strengthening Core with Diverse and Inclusive Talents

• Empowering Future with Strategic Propositions

1.7 CSR Activities

board. Providing nearly 10 million hours of community service to benefit communities

1. Intel 2019 CSR and COVID-19

7. Climate and Energy

committed more than $200 million in environmental programs. As a result, it

1.9 Collaborations and Expansion Plans

• Intel and Baidu

• U.S. chipmaker Intel unveiled plans to invest up to 80 billion euros ($88

• Intel 7 nano-meter process development progressing well with tape in of

• Intel Corp. is spending $7.1 billion on new chip packaging facilities in

1.10 SWOT Analysis of the Company

Intel is limited to the personal computer segment.

Intel often overproduces, which causes flooding in the market.

• Service in Developing countries:

3 . Opportunities for Intel

• The era of Technology and Computers:

1.11 Organization Chart

AN OVERVIEW OF THE INDUSTRY

2.1 Brief History of the Industry

• Challenges to dominance (2000s)

• Reorganization and success with Intel Core (2005–2015)

• Security and manufacturing challenges (2016–2021)

• Renewed competition and other developments (2018–present)

• IDM 2.0 strategy

2.2 Business Process of the Industry

• Product Development (Primary)

• Market Penetration (Secondary)

• Market Development (Supporting)

Intel’s five Pillars of Technology Innovation include:

• Process and packaging

2.3 Market Demand and Supply – Contribution to GDP – Revenue Generation

Market Demand and Supply

• Intel employs approximately 52,000 people across the country.

• Intel directly contributed $25.9 billion to U.S. GDP in 2019.

Intel contributed an excess of $3.89 billion to Arizona’s economy in 2019, according to a

While Intel is successfully transitioning its transformation to become a data-centric

1. Intel's global, internal factory network

2. Expanded use of third-party foundry capacity.

3. Building a world-class foundry business, Intel Foundry Services.

Firms Operating in the Industry

1. Taiwan Semiconductor Manufacturing Co. (TSMC)