Intel kills Consumer Electronics

bribecka writes "Saw this on CNet News.com: Intel has decided to phase out its consumer electronics division. This division was responsible for digital cameras, digital audio players, and other gadgets. " Not really surprising considering the way things are these days.

Comments

The consumer part of intel was always secondary.

[NotSurprised]

If you noticed, every Intel "consumer" product was designed to work with a PC, the faster the processor the better. Basically, their consumer products were designed to drive more PC (and hence, Pentium) sales. Just another way to extend your marketing reach...

Intel is sitting pretty right now (relatively speaking, considering the state of the industry), and also PCs have already reached saturation as well. So they probably don't need "more" -- considering that consumer electronics is so far removed from Intel's core competencies anyways.

Makes sense

[Green Aardvark House]

It made sense for Intel to get out of consumer electronics.

Declining global economy - Electronics are "luxury items" and therefore are cut first from consumers' budgets.

Less name recognition - Intel is widely recognized as a leading chipmaker. But for audio players PDA's and such, most people weren't aware, or simply went for bigger names like Rio or Palm.

Also note they are closing their Online Services Division, as well.

This will be best for the company. Focus on what it does best.

Re:Intel

[ackthpt]

Low margin because they made cheap stuff. I have the Intel Play microscope, and it's pretty crude resolution. It come swith a few slides of bugs and stuff, but the resolution is so poor that the best you can hope for is a fuzzy look at some detail. Digital microscopes usually $700+ affairs, for pretty good ones, and with a few extra bucks put into this thing they could have had the science market of every school in the country. Too bad they didn't put some real entrepeneurs in charge of that division.