AI News, Journal of Employee Assistance 4th Quarter 2019 Vol. 49 No. 4 by ... artificial intelligence

Intel

It is the world's second largest and second highest valued semiconductor chip manufacturer based on revenue after being overtaken by Samsung Electronics,[3][4]

Intel also manufactures motherboard chipsets, network interface controllers and integrated circuits, flash memory, graphics chips, embedded processors and other devices related to communications and computing.

The company's name was conceived as portmanteau of the words integrated and electronics, with co-founder Noyce having been a key inventor of the integrated circuit (microchip).

During this period Intel became the dominant supplier of microprocessors for PCs and was known for aggressive and anti-competitive tactics in defense of its market position, particularly against Advanced Micro Devices (AMD), as well as a struggle with Microsoft for control over the direction of the PC industry.[8][9]

According to IDC, while Intel enjoyed the biggest market share in both the overall worldwide PC microprocessor market (73.3%) and the mobile PC microprocessor (80.4%) in the second quarter of 2011, the numbers decreased by 1.5% and 1.9% compared to the first quarter of 2011.[12][13]

The only major competitor in the x86 processor market is Advanced Micro Devices (AMD), with which Intel has had full cross-licensing agreements since 1976: each partner can use the other's patented technological innovations without charge after a certain time.[18]

Just 2 years later, Intel became a public company via an initial public offering (IPO), raising $6.8 million ($23.50 per share).[23]

near homophone for 'more noise' – an ill-suited name for an electronics company, since noise in electronics is usually undesirable and typically associated with bad interference.

Its first product, a quick entry into the small, high-speed memory market in 1969, was the 3101 Schottky TTL bipolar 64-bit static random-access memory (SRAM), which was nearly twice as fast as earlier Schottky diode implementations by Fairchild and the Electrotechnical Laboratory in Tsukuba, Japan.[33][34]

The three-transistor cell implemented in the first commercially available dynamic random-access memory (DRAM), the 1103 released in 1970, solved these issues.

Intel's business grew during the 1970s as it expanded and improved its manufacturing processes and produced a wider range of products, still dominated by various memory devices.

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'.[40]

Intel opened its first international manufacturing facility in 1972, in Malaysia, which would host multiple Intel operations, before opening assembly facilities and semiconductor plants in Singapore and Jerusalem in the early 1980s, and manufacturing and development centres in China, India and Costa Rica in the 1990s.[42]

The growing success of the IBM personal computer, based on an Intel microprocessor, was among factors that convinced Gordon Moore (CEO since 1975) to shift the company's focus to microprocessors and to change fundamental aspects of that business model.

By the end of the 1980s, buoyed by its fortuitous position as microprocessor supplier to IBM and IBM's competitors within the rapidly growing personal computer market, Intel embarked on a 10-year period of unprecedented growth as the primary (and most profitable) hardware supplier to the PC industry, part of the winning 'Wintel' combination.

By launching its Intel Inside marketing campaign in 1991, Intel was able to associate brand loyalty with consumer selection, so that by the end of the 1990s, its line of Pentium processors had become a household name.

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,[43]

US law did not initially recognize intellectual property rights related to microprocessor topology (circuit layouts), until the Semiconductor Chip Protection Act of 1984, a law sought by Intel and the Semiconductor Industry Association (SIA).[44]

During the late 1980s and 1990s (after this law was passed), Intel also sued companies that tried to develop competitor chips to the 80386 CPU.[45]

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).

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.[50]

As a condition for regulatory approval of the transaction, Intel agreed to provide rival security firms with all necessary information that would allow their products to use Intel's chips and personal computers.[52]

Intel planned to use Infineon's technology in laptops, smart phones, netbooks, tablets and embedded computers in consumer products, eventually integrating its wireless modem into Intel's silicon chips.[56]

In July 2012, Intel agreed to buy 10% of the shares of ASML Holding NV for $2.1 billion and another $1 billion for 5% of the shares that need shareholder approval to fund relevant research and development efforts, as part of a EUR3.3 billion ($4.1 billion) deal to accelerate the development of 450-millimeter wafer technology and extreme ultra-violet lithography by as much as two years.[60]

Indysis explains that its artificial intelligence (AI) technology 'is a human image, which converses fluently and with common sense in multiple languages and also works in different platforms.'[62]

In February 2015, Intel announced its agreement to purchase German network chipmaker Lantiq, to aid in its expansion of its range of chips in devices with Internet connection capability.[65]

Finding itself with excess fab capacity after the failure of the Ultrabook to gain market traction and with PC sales declining, in 2013 Intel reached a foundry agreement to produce chips for Altera using 14-nm process.

This was after poor sales of Windows 8 hardware caused a major retrenchment for most of the major semiconductor manufacturers, except for Qualcomm, which continued to see healthy purchases from its largest customer, Apple.[103]

Intel's first products were shift register memory and random-access memory integrated circuits, and Intel grew to be a leader in the fiercely competitive DRAM, SRAM, and ROM markets throughout the 1970s.

Originally developed for the Japanese company Busicom to replace a number of ASICs in a calculator already produced by Busicom, the Intel 4004 was introduced to the mass market on November 15, 1971, though the microprocessor did not become the core of Intel's business until the mid-1980s.

In 1983, at the dawn of the personal computer era, Intel's profits came under increased pressure from Japanese memory-chip manufacturers, and then-president Andy Grove focused the company on microprocessors.

A key element of his plan was the notion, then considered radical, of becoming the single source for successors to the popular 8086 microprocessor.

Until then, the manufacture of complex integrated circuits was not reliable enough for customers to depend on a single supplier, but Grove began producing processors in three geographically distinct factories,[which?]

As the next processor, the 8086 (and its variant the 8088) was completed in 1978, Intel embarked on a major marketing and sales campaign for that chip nicknamed 'Operation Crush', and intended to win as many customers for the processor as possible.

Compaq, the first IBM PC 'clone' manufacturer, produced a desktop system based on the faster 80286 processor in 1985 and in 1986 quickly followed with the first 80386-based system, beating IBM and establishing a competitive market for PC-compatible systems and setting up Intel as a key component supplier.

In 1975, the company had started a project to develop a highly advanced 32-bit microprocessor, finally released in 1981 as the Intel iAPX 432.

(Instead, AMD started to develop and manufacture its own competing x86 designs.) As the success of Compaq's Deskpro 386 established the 386 as the dominant CPU choice, Intel achieved a position of near-exclusive dominance as its supplier.

Profits from this funded rapid development of both higher-performance chip designs and higher-performance manufacturing capabilities, propelling Intel to a position of unquestioned leadership by the early 1990s.

Intel introduced the 486 microprocessor in 1989, and in 1990 established a second design team, designing the processors code-named 'P5' and 'P6' in parallel and committing to a major new processor every two years, versus the four or more years such designs had previously taken.

The P5 was introduced in 1993 as the Intel Pentium, substituting a registered trademark name for the former part number (numbers, such as 486, cannot be legally registered as trademarks in the United States).

The first attempt was dropped a year later but quickly revived in a cooperative program with Hewlett-Packard engineers, though Intel soon took over primary design responsibility.

The Itanium's performance running legacy x86 code did not meet expectations, and it failed to compete effectively with x86-64, which was AMD's 64-bit extension of the 32-bit x86 architecture (Intel uses the name Intel 64, previously EM64T).

Intel corrected the error in a future chip revision, and under public pressure it issued a total recall and replaced the defective Pentium CPUs (which were limited to some 60, 66, 75, 90, and 100 MHz models[114]) on customer request.

The 'Pentium flaw' incident, Intel's response to it, and the surrounding media coverage propelled Intel from being a technology supplier generally unknown to most computer users to a household name.

Dovetailing with an uptick in the 'Intel Inside' campaign, the episode is considered to have been a positive event for Intel, changing some of its business practices to be more end-user focused and generating substantial public awareness, while avoiding a lasting negative impression.[118]

The second campaign, Intel's Systems Group, which began in the early 1990s, showcased manufacturing of PC motherboards, the main board component of a personal computer, and the one into which the processor (CPU) and memory (RAM) chips are plugged.[120]

Shortly after, Intel began manufacturing fully configured 'white box' systems for the dozens of PC clone companies that rapidly sprang up.[citation needed]

On March 15, 2018, Intel reported that it will redesign its CPU processors (performance losses to be determined) to protect against the Spectre security vulnerability, and expects to release the newly redesigned processors later in 2018.[134][135]

On January 18, 2019, Intel disclosed three new vulnerabilities affecting all Intel CPUs, named 'Fallout', 'RIDL', and 'ZombieLoad', allowing a program to read information recently wrote, read data in the line-fill buffers and load ports, and leak information from other processes and virtual machines.[139][140][141]

The Intel Scientific Computers division was founded in 1984 by Justin Rattner, to design and produce parallel computers based on Intel microprocessors connected in hypercube internetwork topology.[147]

Aside from high-end server systems and software, whose demand dropped with the end of the 'dot-com bubble', consumer systems ran effectively on increasingly low-cost systems after 2000.

Intel's dominance in the x86 microprocessor market led to numerous charges of antitrust violations over the years, including FTC investigations in both the late 1980s and in 1999, and civil actions such as the 1997 suit by Digital Equipment Corporation (DEC) and a patent suit by Intergraph.

it controlled over 85% of the market for 32-bit x86 microprocessors) combined with Intel's own hardball legal tactics (such as its infamous 338 patent suit versus PC manufacturers)[154]

On June 6, 2005, Steve Jobs, then CEO of Apple, announced that Apple would be transitioning from its long favored PowerPC architecture to the Intel x86 architecture because the future PowerPC road map was unable to satisfy Apple's needs.

In July 2007, the company released a print advertisement for its Intel Core 2 Duo processor featuring six black runners appearing to bow down to a Caucasian male inside of an office setting (due to the posture taken by runners on starting blocks).

According to IHS iSuppli's report on September 28, 2011, Sandy Bridge chips have helped Intel increase its market share in global processor market to 81.8%, while AMD's market share dropped to 10.4%.[163]

With this application, employees can get the power consumption info for their office machines, so that they can figure out a better way to save energy in their working environment.[171]

The Intel smart earbuds provide full stereo audio, and monitor heart rate, while the applications on the user's phone keep track of run distance and calories burned.

In 2009, Intel announced that it planned to undertake an effort to remove conflict resources—materials sourced from mines whose profits are used to fund armed militant groups, particularly within the Democratic Republic of the Congo—from its supply chain.

Intel sought conflict-free sources of the precious metals common to electronics from within the country, using a system of first- and third-party audits, as well as input from the Enough Project and other organizations.

Safety levels of the technology, the thought of abandoning control to a machine, and psychological comfort of passengers in such situations were the major discussion topics initially.

Intel also learned that voice control regulator is vital, and the interface between the humans and machine eases the discomfort condition, and brings some sense of control back.[188]

Financial results revealed that, under Otellini, Intel's revenue increased by 55.8 percent (US$34.2 to 53.3 billion), while its net income increased by 46.7% (US$7.5 billion to 11 billion).[192]

The board was described by former Financial Times journalist Tom Foremski as 'an exemplary example of corporate governance of the highest order' and received a rating of ten from GovernanceMetrics International, a form of recognition that has only been awarded to twenty-one other corporate boards worldwide.[196]

In January 2015, Intel announced the investment of $300 million over the next five years to enhance gender and racial diversity in their own company as well as the technology industry as a whole.[213][214][215][216][217]

The report found that in 2009 'the total economic impacts attributed to Intel's operations, capital spending, contributions and taxes amounted to almost $14.6 billion in activity, including $4.3 billion in personal income and 59,990 jobs'.[220]

In the late 1980s, Intel's market share was being seriously eroded by upstart competitors such as Advanced Micro Devices (now AMD), Zilog, and others who had started to sell their less expensive microprocessors to computer manufacturers.

The Intel 2010 annual financial report indicated that $1.8 billion (6% of the gross margin and nearly 16% of the total net income) was allocated to all advertising with Intel Inside being part of that.[236]

The sonic Intel logo was remade in 1999 to coincide with the launch of the Pentium III, and a second time in 2004 to coincide with the new logo change (although it overlapped with the 1999 version and was not mainstreamed until the launch of the Core processors in 2006), with the melody unchanged.

The Pentium name was first used to refer to the P5 core Intel processors and was done to comply with court rulings that prevent the trademarking of a string of numbers, so competitors could not just call their processor the same name, as had been done with the prior 386 and 486 processors (both of which had copies manufactured by IBM and AMD).

The first generation core products carry a 3 digit name, such as i5 750, and the second generation products carry a 4 digit name, such as the i5 2500.

It is a book produced by Red Peak Branding as part of new brand identity campaign, celebrating Intel's achievements while setting the new standard for what Intel looks, feels and sounds like.[248]

However, after the release of the wireless products called Intel Pro/Wireless 2100, 2200BG/2225BG/2915ABG and 3945ABG in 2005, Intel was criticized for not granting free redistribution rights for the firmware that must be included in the operating system for the wireless devices to operate.[254]

As a result of this, Intel became a target of campaigns to allow free operating systems to include binary firmware on terms acceptable to the open source community.

In spite of the significant negative attention Intel received as a result of the wireless dealings, the binary firmware still has not gained a license compatible with free software principles.[257]

Both companies agreed to drop lawsuits against each other, while Intel was granted a perpetual non-exclusive license to use current and future patented Transmeta technologies in its chips for 10 years.[261]

In a rebuttal, Intel deconstructed AMD's offensive strategy and argued that AMD struggled largely as a result of its own bad business decisions, including underinvestment in essential manufacturing capacity and excessive reliance on contracting out chip foundries.[263]

On November 4, 2009, New York's attorney general filed an antitrust lawsuit against Intel Corp, claiming the company used 'illegal threats and collusion' to dominate the market for computer microprocessors.

A joint press release published by the two chip makers stated 'While the relationship between the two companies has been difficult in the past, this agreement ends the legal disputes and enables the companies to focus all of our efforts on product innovation and development.'[268][269]

The allegations, going back to 2003, include giving preferential prices to computer makers buying most or all of their chips from Intel, paying computer makers to delay or cancel the launch of products using AMD chips, and providing chips at below standard cost to governments and educational institutions.[277]

The European Commission said that Intel had deliberately acted to keep competitors out of the computer chip market and in doing so had made a 'serious and sustained violation of the EU's antitrust rules'.[284]

In June 2008, the Fair Trade Commission ordered Intel to pay a fine of US$25.5 million for taking advantage of its dominant position to offer incentives to major Korean PC manufacturers on the condition of not buying products from AMD.[288]

In November 2009, following a two-year investigation, New York Attorney General Andrew Cuomo sued Intel, accusing them of bribery and coercion, claiming that Intel bribed computer makers to buy more of their chips than those of their rivals, and threatened to withdraw these payments if the computer makers were perceived as working too closely with its competitors.

'These exclusivity payments grew from 10 percent of Dell's operating income in FY 2003 to 38 percent in FY 2006, and peaked at 76 percent in the first quarter of FY 2007.'[296]

One resident claimed that a release of 1.4 tons of carbon tetrachloride was measured from one acid scrubber during the fourth quarter of 2003 but an emission factor allowed Intel to report no carbon tetrachloride emissions for all of 2003.[300]

Another resident alleges that Intel was responsible for the release of other VOCs from their Rio Rancho site and that a necropsy of lung tissue from two deceased dogs in the area indicated trace amounts of toluene, hexane, ethylbenzene, and xylene isomers,[301]

In its 2012 rankings on the progress of consumer electronics companies relating to conflict minerals, the Enough Project rated Intel the best of 24 companies, calling it a 'Pioneer of progress'.[304]

In August 2016, Indian officials of the Bruhat Bengaluru Mahanagara Palike (BBMP) parked garbage trucks on Intel's campus and threatened to dump them for evading payment of property taxes between 2007 and 2008, to the tune of 340 million Indian rupees (US$4.9 million).

Previously, Intel had appealed the demand in the Karnataka high court in July, during which the court ordered Intel to pay BBMP half the owed amount (170 million rupees, or US$2.4 million) plus arrears by August 28 of that year.[310][311]