Intel will merge its PC and mobile chip businesses, a company executive recently confirmed in an e-mail obtained by The Wall Street Journal. The move is being made particularly as mobile devices become more powerful and as Intel expands its reach into the mobile space. Several smartphones and tablets now run on its Atom processors, for example, which previously were used in more traditional computers. The move will also allow Intel to better focus on two-in-one devices, those that serve as traditional computers and tablets depending on the use-case scenario.
“The market continues to evolve rapidly, and we must change even faster to stay ahead,” CEO Brian Krzanich said, noting that the streamlining will start to begin next year, and the transition will be led by vice president Herman Eul, The Wall Street Journal explained. Previously, Intel’s computer chip group had been posting profits while its mobile business was losing money, though part of the losses were related to Intel’s ambitions to deliver its mobile processors to tablets, which “requires the company to pay special subsidies to customers,” The Wall Street Journal said.
Eul will receive a new title early next year, Krzanich said, and the current head of Intel’s PC-client group, Kirk Skaugen, will head a new “client computing group.” We suspect we’ll hear more about Intel’s game plan as a new flurry of mobile and desktop devices are announced during the 2015 CES show followed by Mobile World Congress in early March.