intel - business model

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The place where wonderful experienc e starts… By: Sonali Subhadarshini

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Page 1: Intel - Business Model

The placewhere wonderful experience starts…

By:

Sonali Subhadarshini

Page 2: Intel - Business Model

Mission :Delight our customers, employees, and shareholders by relentlessly delivering the platform and technology advancements that become essential to the way we work and live.”

Values :• Customer Orientation

• Discipline

• Risk-Taking

• Results Orientation

• Quality

• Great Place to Work

“Our values are timeless and do not depend on business conditions.”

Mission & Values

Page 3: Intel - Business Model

Contents

• Company profile

• About

• SRAM

• DRAM

• Origin

• History

• Acquisition table

• Company culture

• SIPOC model

o Suppliers

o Inputs

o Process

o Output

o Customers

• SWOT

• Intel in social media

Page 4: Intel - Business Model

• Founded- July 18, 1968; 47 years ago

• Founder- Gordon Moore & Robert Noyce

• Headquarters- Santa Clara, California, U.S

• Area served- worldwide

• Key people- Andy Bryant (chairman), Brian Krzanich (CEO), Renée James (president)

• Products- Bluetooth chipsets, flash memory, microprocessors, motherboard

chipsets, network interface cards, mobile phones, solid state drives, central processing units

Company Profile

Page 5: Intel - Business Model

• Revenue- US$55.870 billion (2014)

• Operating income- US$15.201 billion (2014)

• Net income- US$11.704 billion (2014)

• Total assets- US$91.956 billion (2014)

• Total equity- US$55.865 billion (2014)

• Number of employees- 106,700 (2014)

• Slogan- Experience What's Inside.

Page 6: Intel - Business Model
Page 7: Intel - Business Model

Worlds first and largest semiconductor chip maker

Inventor of the x86 series of microprocessors

Supplies processors for computer companies such as Apple, Samsung, HP and Dell.

Also makes motherboard chipsets, network interface controllers and integrated

circuits, flash memory, graphics chips, embedded processors and other devices related to

communications and computing.

Company Profile

Page 8: Intel - Business Model

"Intel Inside" advertising campaign of the 1990s made it a household name, along with

its Pentium processors.

Ranked as 61 in world's 100 most valuable brands published by Millward Brown Optimor in 2013.

Introduced a 3-D transistor named Tri-Gate with 22 nm process, used in their 3rd generation core

processors that improves performance and energy efficiency.

Company Profile contd..

Page 9: Intel - Business Model

SRAM

It semiconductor memory that uses bistable latching circuitry to store each bit.

It is still volatile in the conventional sense that data is eventually lost when the memory is not

powered.

SRAM is faster and more expensive than DRAM and is used for CPU cache

DRAM

It stores each bit of data in a separate capacitor within an integrated circuit.

Dynamic random-access memory which must be periodically refreshed.

DRAM is used for a computer's main memory.

Page 10: Intel - Business Model

There is at least one point in the history of any company when you have to change dramatically to rise to the next level of performance. Miss that moment - and you start to decline.

Page 11: Intel - Business Model

Founded in Mountain View, California in 1968 by Gordon E. Moore , and Robert Noyce.

Arthur Rock was an investor and was chairman of the board, while Max Palevsky was on the

board from an early stage.

Total initial investment in Intel was $2.5 million convertible debentures and $10,000 from Rock.

2 years later, Intel completed their initial public offering (IPO), raising $6.8 million ($23.50 per

share).

Earlier names of Intel :

• Moore Noyce

• More noise

• NM Electronics

• Integrated Electronics (Intel in short)

Company Origin

Page 12: Intel - Business Model

Company History

3101 Schottky TTL bipolar64-bit static random-access memory (SRAM) – 1st product

3301 Schottky bipolar 1024-bit read-only memory (ROM) and first commercial metal–oxide–

semiconductor field-effect transistor (MOSFET) silicon gate SRAM chip, the 256-bit 1101

First commercially available microprocessor (Intel 4004)

The old Intel logo used from July 18, 1968, until December 2005 Federico Faggin, the designer of Intel

4004.

Page 13: Intel - Business Model

Acquisition table

Page 14: Intel - Business Model

SIPOC Model

• S- SUPPLIERS

• I- INPUTS

• P- PROCESS

• O-OUTPUTS

• C- CUSTOMER

Page 15: Intel - Business Model

Suppliers of Intel :

• Advantest Corporation supplies testers, test handlers, and test interface products.

• Applied Materials, Inc. supplies semiconductor manufacturing equipment, software and support services.

• Cabot Microelectronic Corporation supplies chemical mechanical polishing slurries.

• Daewon Semiconductor Packaging Industrial Co., Ltd. supplies plastic injected moulded trays.

• DISCO Corporation supplies cutting, grinding, and polishing equipment and services

• FUJIFILM Electronic Materials supplies formulated chemicals, developers, precursors, slurries and advanced

photoresists.

• Marvell Semiconductor supplies application-specific integrated circuit semiconductor products and

engineering resources.

• Murata Manufacturing Co., Ltd. supplies multi-layer ceramic capacitors.

• Samsung Electro-Mechanics Co., Ltd. supplies flip chip substrates.

• STATS ChipPAC Ltd. supplies full turnkey packaging and test services.

Page 16: Intel - Business Model
Page 17: Intel - Business Model

Just as we could have rode into the sunset,along came the Internet, and it tripled the significance of the PC.

Page 18: Intel - Business Model

Raw materials Fabrication & Sales :

Raw materials

Fabrication

Sales

Page 19: Intel - Business Model

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 20140

20

40

60

80

100

120

85

99.9

94.1

86.383.9

79.882.5

100.1105

107.6 106.7

years

Num

ber o

f em

ploy

ees i

n th

ousa

nd

Inputs of Intel :

Employees- the no. of employees have reached to 106,700 including 12000 software engineers.

Page 20: Intel - Business Model

Manufacturing Sites :

Page 21: Intel - Business Model

Financial statement :

Page 22: Intel - Business Model

Balance Sheet

Page 23: Intel - Business Model
Page 24: Intel - Business Model

Process of Intel :

Factory overview and certification

Intel's manufacturing organization encompasses wafer fabrication, assembly, high-volume testing, board

manufacturing, and outsourcing.

Environmental citizenship

Intel has long focused on design for the environment and improving its environmental performance.

Control of nonconforming product

A corporate specification governs the review and disposition of questionable or discrepant

nonconforming product across Intel, including wafer fabrication plants, assembly and test sites,

distribution centres, and business divisions.

Page 25: Intel - Business Model

Design for manufacturability

Leading-edge technologies such as design for manufacturability allow Intel to set ever-higher standards

and expectations for our quality and reliability systems.

Product identification and unit-level traceability

Intel employs systems to manage product identification, with unit-level traceability for CPUs and

chipsets and lot-level traceability for boards and systems. A record retention system is used to manage

and store this information.

Copy Exactly!

Copy Exactly! enables delivery of product from multiple production sites, which operate as virtual

factories that perform consistently and are independent of the manufacturing source site

Page 26: Intel - Business Model

Intel® Core™Intel® Core™ MIntel® Core™ i7 Extreme Edition6th Gen Intel® Core™ i76th Gen Intel® Core™ i56th Gen Intel® Core™ i35th Gen Intel® Core™ vPro™Previous Generation

Value ProcessorsPentium®Celeron®

Intel® Xeon®Intel® Xeon® E7 FamilyIntel® Xeon® E5 FamilyIntel® Xeon® E3 FamilyIntel® Xeon Phi™Intel® Xeon® D

Intel® Atom™Intel® Atom™Intel® Quark™Intel® Quark™ SoCMore ProcessorsItanium®Embedded Platforms

Products of Intel

Page 27: Intel - Business Model

Products of Intel

Page 28: Intel - Business Model

Major Competitors

Page 29: Intel - Business Model

Strong brand loyalty.Dominant and pioneer supplier of microprocessors

World’s biggest semiconductor producer80% of microprocessor market share

Customers look for new and updated productsProduct development and market penetration

Advance technologyDiversification

Divisive strategies in defense of market shareAfter 2000 Intel’s leading position in market was

reducedDecrease in revenue in 2008

Changing customer’s tastes and preferencesCurrency changeability in different countries

Strong competitors Political instabilities

Strength Weakness

Threat Opportunity

SWOT Analysis

Page 30: Intel - Business Model

Intel in Social Media

Page 31: Intel - Business Model