Intel Corporation (NASDAQ:INTC)’s CEO, Brian Krzanich, wrote his vision for the company on a blogspot just a week after he announced that there would be cutbacks of about 12,000 jobs at the company.
The CEO plans to make investments in five major areas, as shown by his plan which comes down to these five things:
- Cloud and data centers – Brian Krzanich is aware of the shift in the technology world to the cloud platform. His company is at the forefront of it since they own the market for the chips used which power the cloud services (data centers). The data center chips are already a big player on Intel’s revenue streams and they contribute a huge 30 percent already. This makes it the second most profitable unit. The growth in the data center business could not have come at a better time for the company since the Intel PC business seems to be going down.
- Connected things – the Internet of Things is here to stay, and to show they are aware of that, Intel has been investing in it. This is the market which allows devices to connect to each other and share data in real time. This includes all smart things such as watches to drones and the market for autonomous cars. “The biggest opportunity in the Internet of Things is that it encompasses just about everything in our lives today – it’s ubiquitous,” Krzanich said.
- Memory and programmable solutions – the memory chip industry has been another growth area for the company. They can be used in data centers and also various cloud services. They have also been investing in chips like the FPGAs, which is responsible for the $16 billion acquisition of Altera last year. The deal was Intel’s biggest ever.
- Connectivity – they missed the smartphone and mobile business and it seems like the CEO does not want to make the same mistake again. He vowed to play a big role in the 5G connection move. “Connectivity is fundamental to every one of the to thing segments we will drive,” he said.
- Moore’s Law – Intel chip technology is mainly skewed towards the Moore’s Law, which states that transistor size shrinks to half in every 2.5 years. He vowed to bring the time frame back to 2 years.
Intel has been trying to revitalize its workflow to overcome the year-long slump in PC sales it encountered. The CEO has overhauled a whole number of positions to bring in new help from the outside. One of the guys they hired is Venkata “Murthy” Renduchintala, who was hired as the #2 guy. He has been tasked with the restructuring job.