Intel's Ambitions Are Absolutely Absurd

While I appreciate that Intel realizes it has to completely transform itself -- and hire service- and content-oriented, hip and edgy media people -- I can't get over the fact it not only thinks it can succeed in the living room, but it can beat Apple, let alone frontrunners such as Microsoft (MSFT).

For Intel to achieve anything even resembling significance in television it will need to buy at least one cable or satellite operator and more than one major content company. Maybe it will, but even that generates no guarantees.

Intel says it's prepared to outspend everybody in the living room. Big deal. Here again we witness another case of arrogant beings shortchanging the power of the media's old guard.

Assuming the leaks are correct, Intel wants to take the cable model and completely transform it. It wants to give consumers that one thing we have always wanted, the ability to buy cable channels a la carte alongside truly on-demand television.

I'm not opposed to the idea; it's just that it's never going to happen unless the old guard says so. When they do, where's the incentive to cooperate with Intel?

There are other reports Intel is partnering with Apple on some sort of watch or wearable computer. That makes sense. I don't know if the product will take off or not, but if Intel is smart it will do whatever it can to ride Apple's coattails in other areas as well.

Apple has more leverage with content providers and cable operators, just like it does with wireless carriers. That doesn't mean they'll do what Apple wants -- we know this much -- it just means Apple operates from an obvious position of strength, alongside its well-earned arrogance.

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--Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is TheStreet's Director of Social Media. Pendola's daily contributions to TheStreet frequently appear on CNBC and at various top online properties, such as Forbes.

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