Analysys International Says Intel's New Logo Shows Its Aspiration to 'Leap Ahead' in Consumer Electronics Market7 March 2006
BEIJING, Jan. 5 /Xinhua-PRNewswire/ -- Analysys International, a leading Internet-based business information service provider, says that Intel's new logo shows that Intel is aspiring to 'leap ahead' in the new market of consumer electronics although it will face more challenges.
News Background
Intel said that it would scrap its 37-year-old, and well-known, logo as part of a major rebranding strategy that will emphasize the chipmaker's shift away from its core PC business into consumer products. The original Intel logo featuring a lowered "e" will be replaced with one showing an oval swirl surrounding the company's name. The phrase "Leap Ahead" will supplant "Intel Inside," which helped bring the company into the public awareness during the PC boom of the 1990s.
Quick Analysis
1. The change of logo is the inevitable demand of Intel's strategic shift.
From the beginning of 2005, Intel had announced its shift from chipmakers into a platform product provider covering consumer electronics fields, among which digital home entertainment and consumer electronics products will be the focus of Intel's future development. From thus on, Intel had started their adjustments in organization and product lines. Despite being the number 1 in the computing products fields, Intel hasn't had much success so far. It is still a chipmaker in most people's minds. Intel has to change the logo if it wants to change people's impression and establish a new image of chip and platform product provider in consumer electronics fields.
2. Decreasing developing potential in the PC market and fierce competition from AMD drive Intel to seek for new market.
Analysys International thinks that the PC chip market has saturated for Intel. Although there is still high profit, it's hard to find new room for innovation. What's more, AMD is competing heavily and poses great threat to Intel in the PC processor market. Analysys International thinks that Intel's strategy is to enter the market with greater development potential before competitors so as to maintain its leading position in emerging markets. This is the key reason for Intel to enter the consumer electronics market.
3. The consumer electronics market will bring more challenges to Intel than the former PC market.
Early PC market development was driven by technology, or specifically by the development of core processor chips. Under such situations, Intel mastering the core technology had much influence in the industry chain, its technical innovation and development alone had enough power to push forward the development of the whole PC industry.
But in the consumer electronics market, the main drivers of the market are not only the chip supply in the upper stream but also other factors; since consumer electronics products have high dependence on application models and content services, upper-stream technology alone cannot push the whole industry development of consumer electronics. Therefore, Analysys International thinks that Intel will lose some dominating advantage in the consumer electronics market. And there will be much uncertainty in the developing direction and speed of the whole industry and Intel will face more challenges.
Analysys International's Position
Analysys International thinks that to drive the development of the industry chain and accelerate the development of the content service market will be the key concerns Intel face for their shift into the digital home entertainment and consumer electronics market.
Additional information is available in Analysys International's website: http://english.analysys.com.cn .
About Analysys International
Analysys International is the leading Internet based provider of business information about technology, media and the telecom industry in China with the mission to help their clients make better business decisions. They provide data, information and advice to 50,000 clients worldwide, representing 1,500 distinct organizations, deliver over 150 consulting engagements a year, and hold more than 20 events that draw in over 8,000 attendees. Their clients include executives from companies like technology vendors, vertical information technology users, as well as professionals from professional service companies, the investment community and government agencies. For more information, please visit the web site at http://english.analysys.com.cn .
For more information, please contact:
Jessica Wang
Overseas Media Manager
Analysys International
Tel: +86-10-6466-6565 x394
Fax: +86-10-6466-7102/7103
Email: jessica_wang@analysys.com.cn
Source: prnewswire
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