Today, almost every person who uses electronic devices is aware with the name Intel. Intel, in full Intel Corporation, American manufacturer of semiconductor computer circuits. It is headquartered in Santa Clara, California. The company’s name comes from “integrated electronics.” Intel was founded by two American engineers Robert Noyce and Gordon Moore back in July 1968. Unlike other youth-driven Silicon Valley start-ups, Intel was founded with initial investment of whooping $2.5 million invested by American financer Arthur rock, who coined the term venture capitalist. Unlike other start-ups of Silicon Valley where the founders were inexperienced, Founder of Intel were quite experienced. Robert Noyce was the co-inventor of silicon integrated circuit while he was acting as a general manager at Fairchild Semiconductor. On the other hand, Gordon Moore was the head of Research and Development at Fairchild Semiconductor.
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ntel’s initial business plan was to produce, engage, research, and develop different products such as integrated circuits, dioded, transistors, field effect transistor’s and many more. The first product introduced by Intel was 3101 Static Random-Access Memory (SRAM). Intel’s initial products were memory chips, including the world’s first metal oxide semiconductor, the 1101, which did not sell well. However, its sibling, the 1103, a one-kilobit dynamic random-access memory (DRAM) chip, was successful and the first chip to store a significant amount of information. Following its DRAM success Intel became a public company in 1971. Moore believed that making employees owners with stock options would not only engage them in the success of the company, but also see private offices as wasteful of what could be personal returns. Hence, Intel became one of the earliest companies to create what is now known as Silicon Valley business culture. Intel involved in several endeavours in some of them they achieved success while some of them were a big blow to them. In 1974 Intel controlled the 82.9% of DRAM market which reduced to mere 1.3% in 1984 due to increase in number of foreign competitors. In 1981 the American computer manufacturer International Business Machines (IBM) chose Intel’s 16-bit 8088 to be the CPU in its first mass-produced personal computer (PC). Intel’s business strategy relied on making newer microprocessors dramatically faster than previous ones to entice buyers to upgrade their PCs. In order to increase consumer brand awareness, in 1991 Intel began subsidizing computer advertisements on the condition that the ads included the company’s “Intel inside” label. By 1995 the company was selling more than 10 million motherboards to PC makers, about 40 percent of the overall PC market.
Intel is facing cut-throat competition from its competitors today. In 2019 Intel ranked 43 on the Fortune 500 list of the largest American companies. Intel hold 63.7% share in CPU market as of Q1 OF 2020. Intel’s rival AMD hold 36.3% of the semiconductor market. The growing concern for Intel is that in almost every sector from CPU to processor AMD is giving competition to Intel. Despite certain setbacks for Intel, one cannot deny the fact that they had changed the course of chip industry.
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