Intel CEO aims push at chips for mobile

Intel Corp. chief executive Brian Krzanich is devoting more resources to processors for smartphones and tablets as he works to speed the transition to mobile chips amid a global personal computer slump.

The company will use the same advanced manufacturing for the Atom line of low-power, cheaper chips for smartphones and tablets that had previously been set aside for the more robust Core processors for desktops and laptops, Mr. Kzranich told reporters at a meeting in San Francisco Friday.

He is working to reverse declining sales at the world’s largest chipmaker with faster, more energy-efficient processors for hand-held machines. As consumers increasingly turn to mobile devices to surf the Web, send email and watch video, the PC market is set to contract for a second straight year.

“We haven’t been as clear about Atom’s position prior to this,” Mr. Krzanich said.

To hasten the shift to mobile, Mr. Krzanich said Intel is holding weekly meetings

on Atom to speed development of new versions. Intel has gone years between major updates for Atom in the past.

Mr. Krzanich is also continuing to evaluate Intel’s role in the television business.

The company has said it plans to begin selling a settop box offering Internetbased TV this year. Negotiations with media companies are ongoing, and he said he hasn’t determined what the business model should be.

“We are not big content players,” he said. “We’re being cautious.”

Intel’s sales won’t start growing again until next year, according to the average of analysts’ estimates compiled by Bloomberg. This year, they will be little changed at US$53.6-billion, analysts project. By contrast, revenue

We are not big content players. We’re being cautious

for Qualcomm Inc., the biggest maker of mobile chips, will surge 28% in 2013.

Mr. Krzanich, a former factory manager, was promoted to the top job at the Santa Clara, Calif-based chipmaker in May.

Global tablet shipments are expected to eclipse PCs by 2015 as consumers flock to smaller, more affordable machines, according to researcher IDC. Intel ended 2012 with less than 1% market share in tablets and phones, according to Sanford C. Bernstein & Co. research.