Intel To Exit Motherboard Business In 3 Years

Company plans to shift focus to more lucrative venues of smartphones, tablets, and Ultrabooks.

 

Semiconductor giant Intel has decided to shut down its desktop motherboard business in the next three years. The company says they will use their twenty years of experience and talent in making motherboards and apply it to "emerging new form factors". We think the world's largest manufacturer of CPUs and supporting chipsets has decided to call it quits because it plans to concentrate on the more lucrative smartphones, tablets, and Ultrabooks market instead.

However, we must make it clear to desktop PC users that there is no reason to be alarmed as the company will only stop making Intel-branded motherboards, and will still continue to manufacture and provide chipsets and reference designs to its partners such as ASUSTek, Gigabyte, and MSI. Needless to say, it will continue to manufacture CPUs.

Probably rightly judging that it is in its best interest to adapt to the changing market scenario, Intel will gradually begin ramping down the motherboard business over the said period, but will still continue to make innovations and provide reference design motherboards to partners, according to company spokesman Daniel Snyder. Intel has been manufacturing motherboards under its own branding since several years. Although they are known for their rock-solid stability, they have not been able to price them well enough when compared to competitors, whose products based on the same chipsets had additional premium features that Intel's own boards lacked.

While it will swerve towards mobiles and tablets (especially after the advent of Windows 8), the company has assured that its primary business will still continue to be the desktop segment and it will continue to honour warranties for its branded motherboards.


TAGS: Hardware, Intel, Jayesh