iSuppli: Microsoft/Intel alliance is fraying
TweetFollow Us on Twitter

iSuppli: Microsoft/Intel alliance is fraying

After a generation of setting the pace and calling the shots in the computer market, the Microsoft/Intel cartel known as Wintel now finds itself playing catch-up in the new era of smartphones and media tablets, spurring a widening rift in the historic alliance, according to IHS iSuppli (www.isuppli.com).

Despite a flurry of activities to adjust to the changed realities of the technology industry, Wintel is expected to suffer a declining share of the "new" computer market, a category consisting not just of PCs but also of the much faster-growing smartphone and media tablet segments, says the research group. Microsoft’s share of the operating system market for the three products combined is expected to slip to 33% in 2016, down from 44%in 2011, according to an "IHS iSuppli DRAM Dynamics Report."

Meanwhile, Intel’s share of microprocessors will fall to 29%, down from 41%. At the same time, the total size of the market will double from 2011 to 2016, almost entirely due to the strong growth of the smartphone and media tablet segments, as presented in the table.

Craig Stice, senior principal analyst compute platforms at IHS, has this to say: "Microsoft and Intel once marched shoulder to shoulder, dominating the PC market with their closely tied operating system and microprocessor technologies," says. "In the PC segment, Wintel extracted the majority of the profits, controlled every move and compelled all other players to either comply or risk being forced out of the game. While still an overwhelming influence in their respective markets, the tables have turned for Microsoft and Intel.

"With smartphones and tablets performing tasks previously exclusive to PCs, the computer market has expanded to include other platforms. As a result, Wintel finds itself in the unfamiliar position of dancing to someone else’s tune, following standards that were set by other companies for form factors, user interfaces and even pricing. This means Microsoft and Intel must think outside the box -- even if it means adopting strategies that work against each other’s interests."

Wintel outsmarted in smartphones

IHS predicts 655 million smartphones will ship worldwide in 2012, nearly triple the total for mobile computers. From a processor perspective, the ARM architecture long has been the leader in the smartphone market. Intel, although dominant in the PC world, has yet to make much headway in this segment.

IHS estimates Intel has been able to capture only 6-8 %of market share in the mobile handset processor revenue business -- with its small success in this area mostly due to the company’s acquisition of the wireless business of Germany’s Infineon Technologies.

In the smartphone operating system segment, Android and iOS lead the pack. Microsoft’s Windows Mobile has fared even worse than Intel, with less than 2% share in 2011, although the company is expected to make advances in the market in the coming years.

Headache tablets for Wintel

Media tablets sit in the sweet spot between the smartphone and the notebook computer. Similar to that of the smartphone, the tablet growth rate is very strong throughout the forecast period. By 2016, IHS projects that media tablet shipments will surge to 311 million units, about equal to the total mobile computer market at 322 million.

Tablets have given consumers a new choice for their computing needs and now are leaking into the corporate space due to their ultra-portability. Compared to the Intel options, ARM-based processors have generally ruled the media tablet market because of their low power and price. New players like NVidia, Qualcomm and Texas Instruments are  also dominating the processor market, leaving out Intel.
Equally, Apple’s iOS and Google’s Android have controlled the operating systems for tablets, excluding Microsoft from the party.

Win vs. Tel

These developments represent a huge challenge for the two technology giants accustomed to industry hegemony. However, neither is sitting still, as the computer industry has witnessed more innovation in the last nine months than it has in two decades. Significantly, many of these innovations enlarge the schism that is forming between the two companies.

If you can’t beat ‘em …

Intel’s response has been to go back to its bread and butter, the notebook, by making a complete overhaul of the system to make it ultrathin, ultraportable, and ultramobile. The ultrabook represents Intel’s bid to reignite the PC market and draw consumer dollars away from the other computing gadgets.  

However, Intel is also making moves to compete directly in the media tablet market. The company’s solution is to promote its Atom microprocessor directly to makers of Android operating system-based media tablets.

For Intel, this represents a fundamental departure from the Microsoft-centric approach to the PC market and toward an operating-system-agnostic philosophy, according to IHS iSuppli.

Opening Windows

Microsoft’s response is the Windows 8 operating system. The company has conducted a complete restructuring of its operating system, adding in the new “Metro App” tile style, quick reboot, and touch-screen interface, just to name a few changes. All of these are features similar to what would be included in a smartphone or tablet.  

Just as with Intel, Microsoft’s response involves a step away from its traditional partner, notes IHS iSuppli. One version of Windows 8, Windows RT, runs on ARM processor-based platforms. This is Microsoft’s attempt to disconnect from Intel x86 microprocessor-based systems to become platform agnostic.

The new computer market

"Wintel now is playing in a new computer market that is a composite of the PC, smartphone and media tablet segments," Stice says. "While this may be a non-traditional way of looking at the PC market, tradition has gone out the window. The smartphone influenced the tablet, the tablet influenced the PC, the PC wants to become more like a tablet and the tablet more like a PC. It’s a vicious circle in which both Intel and Microsoft must take part, but they are losing control of the game and how it’s played. The Wintel camp is not accustomed to following, but with both companies being excluded of the two fastest-growing markets, they are in catch-up mode."

While this may be hard news for Wintel, the beneficiary is the consumer, he adds. Read more at "The Changing PC and the Impact to the Wintel Dominance" (http://macte.ch/87bZP).

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Ableton Live 9.7.1 - Record music using...
Ableton Live lets you create and record music on your Mac. Use digital instruments, pre-recorded sounds, and sampled loops to arrange, produce, and perform your music like never before. Ableton Live... Read more
FileZilla 3.23.0.2 - Fast and reliable F...
FileZilla (ported from Windows) is a fast and reliable FTP client and server with lots of useful features and an intuitive interface. Version 3.23.0.2: Bug Fixes and Minor Changes Speed up icon... Read more
Vivaldi 1.5.658.56 - An advanced browser...
Vivaldi is a browser for our friends. In 1994, two programmers started working on a web browser. Our idea was to make a really fast browser, capable of running on limited hardware, keeping in mind... Read more
Safari Technology Preview 10.1 - The new...
Safari Technology Preview contains the most recent additions and improvements to WebKit and the latest advances in Safari web technologies. And once installed, you will receive notifications of... Read more
TunnelBear 3.0.8 - Subscription-based pr...
TunnelBear is a subscription-based virtual private network (VPN) service and companion app, enabling you to browse the internet privately and securely. Features Browse privately - Secure your data... Read more
NeoFinder 7.0 - Catalog your external me...
NeoFinder (formerly CDFinder) rapidly organizes your data, either on external or internal disks, or any other volumes. It catalogs all your data, so you stay in control of your data archive or disk... Read more
Coda 2.6 - One-window Web development su...
Coda is a powerful Web editor that puts everything in one place. An editor. Terminal. CSS. Files. With Coda 2, we went beyond expectations. With loads of new, much-requested features, a few surprises... Read more
File Juicer 4.51 - Extract images, video...
File Juicer is a drag-and-drop can opener and data archaeologist. Its specialty is to find and extract images, video, audio, or text from files which are hard to open in other ways. In computer... Read more
PDFpenPro 8.3 - $124.95
PDFpenPro allows users to edit PDF's easily. Add text, images and signatures. Fill out PDF forms. Merge or split PDF documents. Reorder and delete pages. Create fillable forms and tables of content... Read more
PDFpen 8.3 - $74.95
PDFpen allows users to easily edit PDF's. Add text, images and signatures. Fill out PDF forms. Merge or split PDF documents. Reorder and delete pages. Even correct text and edit graphics! Features... Read more

Latest Forum Discussions

See All

Niantic teases new Pokémon announcement...
After rumors started swirling yesterday, it turns out there is an official Pokémon GO update on its way. We’ll find out what’s in store for us and our growing Pokémon collections tomorrow during the Starbucks event, but Niantic will be revealing... | Read more »
3 reasons why Nicki Minaj: The Empire is...
Nicki Minaj is as business-savvy as she is musically talented and she’s proved that by launching her own game. Designed by Glu, purveyors of other fine celebrity games like cult favorite Kim Kardashian: Hollywood, Nicki Minaj: The Empire launched... | Read more »
Clash of Clans is getting its own animat...
Riding on its unending wave of fame and success, Clash of Clans is getting an animated web series based on its Clash-A-Rama animated shorts.As opposed to the current shorts' 60 second run time, the new and improved Clash-A-Rama will be comprised of... | Read more »
Leaks hint at Pokémon GO and Starbucks C...
Leaked images from a hub for Starbucks employees suggests that a big Pokémon GO event with the coffee giant could begin this very week. The images appeared on Reddit and hint at some exciting new things to come for Niantic's smash hit game. | Read more »
Silent Depth Submarine Simulation (Game...
Silent Depth Submarine Simulation 1.0 Device: iOS Universal Category: Games Price: $7.99, Version: 1.0 (iTunes) Description: | Read more »
Enneas Saga lets you lead your own demon...
Defend the land of Enneas Continent from the forces of evil in the new fantasy MMORPG from Lyto Mobi: Enneas Saga. Can’t wait? No problem. It’s available to download now on Android devices. | Read more »
Great zombie games in the spirit of Dead...
Dead Rising 4 arrives tomorrow, giving enthusiasts a fresh chance to take selfies with zombies and get up to other ridiculous end-of-the-world shenanigans. To really get into the spirit of things, we've gone and gathered the best zombie games that... | Read more »
Amateur Surgeon 4 Guide: Advanced tips a...
Amateur Surgeon 4 is still tackling the competition at the top of the App Store charts, so if you haven't tried it out yet, you should probably do that right away. If you've been at it for a while, though, perhaps you're ready to start expanding... | Read more »
Amateur Surgeon 4 Guide: Become the worl...
It's time to wield your trusty pizza cutter again, as Amateur Surgeon has returned with a whole fresh set of challenges (and some old, familiar ones, too). Starting anew isn't easy, especially when all you have at your disposal is a lighter, the... | Read more »
Le Parker: Sous Chef Extraordinaire (Ga...
Le Parker: Sous Chef Extraordinaire 1.0 Device: iOS Universal Category: Games Price: $2.99, Version: 1.0 (iTunes) Description: | Read more »

Price Scanner via MacPrices.net

Back in stock: Apple refurbished Mac minis fr...
Apple has Certified Refurbished Mac minis available starting at $419. Apple’s one-year warranty is included with each mini, and shipping is free: - 1.4GHz Mac mini: $419 $80 off MSRP - 2.6GHz Mac... Read more
Twenty-Five Years Of Apple Laptops – A person...
Among many other things, the often tumultuous 16th year of the new century marked the 25th anniversary of Apple laptop computers, not counting the optimistically named 16-pound Mac Portable of 1989.... Read more
Landlordy iOS App Adds Support For Appliances...
Riga, Latvia based E-protect SIA is releasing major update (version 1.8) to its Landlordy app for managing rental business financials on the go. Landlordy is iPhone and iPad app designed for self-... Read more
Holiday sale, Apple iMacs for up to $200 off...
B&H Photo has 21″ and 27″ Apple iMacs on sale for up to $200 off MSRP including free shipping plus NY sales tax only: - 27″ 3.3GHz iMac 5K: $2099 $200 off MSRP - 27″ 3.2GHz/1TB Fusion iMac 5K: $... Read more
Holiday sale: Mac minis for $50 to $100 off M...
B&H Photo has Mac minis on sale for up to $100 off MSRP free shipping plus NY sales tax only: - 1.4GHz Mac mini: $449 $50 off MSRP - 2.6GHz Mac mini: $629 $70 off MSRP - 2.8GHz Mac mini: $899 $... Read more
Mac Pros on sale for up to $300 off MSRP, ref...
B&H Photo has Mac Pros on sale for up to $300 off MSRP. Shipping is free, and B&H charges sales tax in NY only: - 3.7GHz 4-core Mac Pro: $2799, $200 off MSRP - 3.5GHz 6-core Mac Pro: $3699, $... Read more
12-inch WiFi Apple iPad Pros on sale for up t...
B&H Photo has 12″ WiFi Apple iPad Pros on sale for up to $50 off MSRP, each including free shipping. B&H charges sales tax in NY only: - 12″ Space Gray 32GB WiFi iPad Pro: $749 $50 off MSRP... Read more
9-inch Apple WiFi iPad Pros on sale for $20-$...
B&H Photo has 9.7″ Apple WiFi iPad Pros on sale for $20-$50 off MSRP, each including free shipping. B&H charges sales tax in NY only: - 9″ Space Gray 256GB WiFi iPad Pro: $779.95 $20 off MSRP... Read more
Apple refurbished 2015 15-inch MacBook Pros a...
Apple has Certified Refurbished 2015 15″ Retina MacBook Pros available starting at $1699. An Apple one-year warranty is included with each model, and shipping is free: - 15″ 2.2GHz Retina MacBook Pro... Read more
Back in stock! 13-inch 2.7GHz Retina MacBook...
Apple has Apple Certified Refurbished 2015 13″ 2.7GHz/128GB Retina MacBook Pros (MF839LL/A) available again for $1099 including free shipping. That’s $200 off MSRP, and it’s the lowest price... Read more

Jobs Board

*Apple* Retail - Multiple Positions- Philade...
Job Description: Sales Specialist - Retail Customer Service and Sales Transform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Retail - Multiple Positions- San Ant...
Job Description:SalesSpecialist - Retail Customer Service and SalesTransform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Products Tester Needed - Apple (Unit...
…we therefore look forward to put out products to quality test for durability. Apple leads the digital music revolution with its iPods and iTunes online store, Read more
SW Engineer *Apple* TV Frameworks - Apple I...
The Apple TV team is looking for a software...create features that reflect the look and feel of Apple TV. Description: Were looking for someone who is Read more
Hardware Design Validation Engineer - *Apple...
The Apple Watch team is looking for a Hardware Design Validation Engineer. This person will be part of the Apple Watch hardware team with responsibilities for Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.