This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Intel CFO: We Will Reinvent PCs

NEW YORK ( TheStreet) -- Intel (INTC - Get Report), which provides low-power chips for a new breed of skinny laptops called ultrabooks, said it's reinventing the PC market, according to the chipmaker's CFO, Stacy Smith.

Speaking at the Citi Technology Conference in New York City, Smith pointed to previous Intel milestones such as adding multimedia capabilities to PCs in the 1990s and the launch of its Centrino chip, which enabled longer battery life and thinner laptops. "We will re-invent the PC one more time," Smith said. "We will make the [ultrabook] form factor very sexy."

Smith explained that ultrabooks, expected to debut in time for the holiday buying season, are thinner and lighter than existing notebooks, and also offer long battery life. Ultrabooks will also feature "instant on," "always connected," location-based services and touchscreen capabilities.

"We will also have the ability to have a flipscreen," he said. "That's not going to happen in 2011, but over time -- that's how we're going to evolve the platform."

Intel outlined its plans to build low-power chips for ultrabooks at the Computex show in Taiwan earlier this year, predicting that the devices will account for 40% of the consumer laptop market by the end of 2012. Ultrabooks, a cross between notebooks and tablet devices, will measure less than 20 millimeters thick.

Intel, however, has been down this road before. CEO Paul Otellini cited super-skinny laptops running low-power chips as a key trend more than 2 years ago, but the high production costs and thus high price tags hindered mass adoption of the technology. Today Intel says an ultrabook will be priced below $1,000.

Smith reiterated this message Wednesday. "We think that that will really re-energize the notebook marketplace," he added.

The Intel CFO also predicted that two-thirds of the PC market's future growth will come from emerging markets. Falling PC prices and higher incomes in countries such as China are fueling demand for technology, he explained, noting that a computer cost more than 30 weeks of the average Chinese worker's income in 2005, compared to around 7 weeks worth of income in 2010.

"Now [that] it's less than a couple of months of income for someone to afford a computer, there's rapid uptake," he said. "We're already seeing rapid increases in penetration rates across these markets."

Intel shares were rising modestly in Wednesday morning trading, up 2.36% to $20.

--Written by James Rogers in New York.

>To follow the writer on Twitter, go to

>To submit a news tip, send an email to:

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
INTC $28.42 0.71%
AAPL $93.54 -0.17%
FB $101.59 -0.31%
GOOG $681.86 -0.18%
TSLA $147.67 -1.90%


Chart of I:DJI
DOW 15,891.92 +231.74 1.48%
S&P 500 1,853.36 +24.28 1.33%
NASDAQ 4,308.9310 +42.0940 0.99%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs