On Thursday, Intel Corp. reported it was making definite plans to completely overhaul the computer business. Paul Otellini, chief executive of Intel in Santa Clara, CA said he had created a plan that would impact the way every single part of the company works. The primary areas of focus of course would be those products that had experienced very low sales in the past year, including hardware with brackets.
Intel’s core processor business continues to thrive, but its NOR flash unit is in distress. For many quarters, computer business Intel has been losing money on these products, and in the first quarter, lost nearly $108 million.
Otellini and other core executives at the computer business have been compiling a detailed review of its business units, and while it will continue to make a serious investment in technology, it will take measures to make Intel generally more efficient. While no details are yet available on this restructuring, the plan will be swiftly executed by the third quarter.
This new overhaul comes on the heels of steadily increasing problems with the computer business that can be attributed to low PC sales, inventory problems and servers. The future plan could be felt in part this past week when it started a move towards boosting PC desktop sales, security and management by announcing vPro, a new platform designed to help upgrade hardware and how the computers work for users.
Blogged By: Joshua Feinberg