Intel Corporation - Special Call

Intel Corporation (INTC)

March 06, 2012 12:00 pm ET

Executives

Diane M. Bryant - Chief Information Officer and Vice President

Mario Müller -

Derek Chan -

Unknown Executive -

Alex Rodriguez -

Presentation

Operator

Ladies and gentlemen, please welcome Diane Bryant, Intel Vice President and General Manager, Data Center and Connected Systems Group.

Diane M. Bryant

Thank you. So thank you so much for joining us on what is a very big day for us, the launch of the Xeon Processor E5 family. The E5 is truly the heart of the Data Center, and we mean that very explicitly. And when we say Data Center, we mean all data centers, whether it is the public cloud service provider data centers, the foundation for fueling those services; whether it's enterprise IT data centers; telco service provider data centers; or the home of large high-performance computing clusters. All of those data centers, all of the infrastructure inside of those data centers is what we're targeting with the E5 family.

If you think about it, we are in a period of incredible growth. Today, there's 2.2 billion Internet users worldwide. That's projected, as you've probably heard, to go to 3.1 billion users by 2015. You think about the growth in the number of devices -- total number of devices, the growth in the number of devices per user continues to grow. And as we have this massive innovation on the client side, we equally have innovation inside of the Data Center side with technologies such as cloud computing.

Cloud computing, in and of itself, allows new services to be rapidly invented and rapidly deployed to all of those devices. So you can argue the cause and effect is the innovation in cloud and in devices, enabling all these new usages or are these new usages driving the innovation in the cloud and in the devices. But either way, the result is an ever-increasing demand on the Data Center infrastructure.

Yes, the number of innovations in new usages is quite impressive, that pace of innovation in new usages, new services, new capabilities that are being delivered, both services to the consumer side, as well as to business. If you think about it, right, we used to have a bank in every town, then we had an ATM machine on every corner, and now we have a banking solution on our smartphone in our pockets, just a massive breadth of new usages and new capabilities.

Another great industry that has shown remarkable innovation, completely transforming itself, thanks to technology innovation, is the automotive industry. You may have heard last week, Intel announced at the Mobile World Conference a $100 million venture capital fund to fuel the innovation around the automotive industry. Automobiles are becoming your yet another mobile device-consuming services on the go. So whether these services are for consumers, whether these services are for business, whether it's for entertainment, for convenience, for improved productivity, they all require a connection back to the Data Center. They all drive and fuel Data Center growth.

On the IT side of the house, the IT -- enterprise IT is transforming itself once again. I just last month finished a 4-year stint as Intel's CIO. And just in those 4 years that I was CIO, I saw remarkable change in the role that IT plays. And IT transforms itself every 6 to 8 year, so this is nothing new. But what I saw over those 4 years in IT is a dramatic shift in the role that IT plays. The old days of IT being a support organization, delivering services to the business, to a standard Service Level Agreement, homogeneous services independent of what the line of business is, IT is the organization that keeps the network up and closes the books each quarter, those days are gone.

Today, IT is truly inextricably linked with the business. IT delivers the business solutions. IT delivers the scale to the business to allow top line growth, and IT delivers the efficiency and the automation and the speed to deliver bottom line growth to the company. So the pace of the business is continuing to increase worldwide 24/7 real-time decision-making, all automated, all online. It's very clear, that businesses today rely on IT more than ever, again, driving the demands on the Data Center, driving demands on IT infrastructure.

And so all this translates to scale. IT must scale. Again, whether you're talking about the public cloud service providers or business -- core business enterprise IT or telco or high performance computing, the scientific side of the house, they all require the same capabilities. They all require the same scale. They all require the same innovation. We have to continue to deliver greater responsiveness, pure performance, being there, responsive on-demand capabilities. Energy efficiency power is and will continue to be a constraint in the buildout, so a focus on energy efficiency is demanded across the entire spectrum of data centers. Security, we're living in an environment where the security threats just continue to rise. Having the confidence of end-to-end security and knowing that your corporation's data and personal identifiable information of your employees and consumers and customers is safe, is key. Self-service, IT has got to be intuitive, easy to use, available, complete transformation in the way those services are delivered, whether it's consumer or business. And then, of course, it's all about scale in a balanced fashion across the Data Center. So it's scale across servers, but as well storage and network. So that balanced environment, that balanced scale of continuing to deliver more and more to our customers.

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