Intel Corporation (NASDAQ:INTC)’s new CEO Brian Krzanich vowed to lead the company into the next generation by shifting faster into the mobile business. That objective seems to be coming into reality as the company won a major victory in the mobile market after Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930) selected the chip-maker’s processor to power its new version of Android tablet, according to report from Reuters.
The South Korean electronics manufacturer has chosen the Clover Trail+ mobile chip of Intel Corporation to power one version of its Samsung Galaxy Tab 10.1, which is a major competitor of the Apple Inc. (NASDAQ:AAPL) iPad. The source familiar with the issue requested Reuters not to disclose his identity because the details of the agreement remained private.
Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930)’s best-selling Android-based tablets previously used the chips integrated with energy efficient technology from ARM Holdings plc (NASDAQ:ARMH) (LON:ARM). Intel Corporation (NASDAQ:INTC)’s processors were used by Samsung in its Windows ATIV tablets with a smaller market compared with the Android-based tablets.
According to the source, Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930) will unveil its latest ATIV tablets powered by chips from Intel Corporation (NASDAQ:INTC) during an event in London on June 20. However, it is uncertain if the South Korean Electronics manufacturer will also reveal its new Galaxy Tab at the same event.
Earlier this month, we previously reported that Samsung Electronics Co. Ltd. (BC94) (KSE:005930) might use the Atom Z2560 Clover Trail + processor from Intel Corporation (NASDAQ:INTC) in its new 10-inch Android tablet based on a note to investors by analysts at JP Morgan.
Meanwhile, analysts from Citi Research said that the management of Intel Corporation (NASDAQ:INTC) is upbeat with their latest mobile computing products (Hasswell/Bay Trail) and mobile device products (Bay Trail/Merrifield).
Citi Research analysts Glen Yeung and Adeline Lee noted that the supply chain of Intel Corporation (NASDAQ:INTC) demonstrates a stable trend, and they share the company’s optimism for the second quarter of 2013.
In addition, Yeaung and Lee said that Intel Corporation (NASDAQ:INTC) intensified its commitment to foundry this year as the company sees opportunity to leverage its sub-28nm technology. The company built several support functions such as design IP blocks, design flows and kits, ASIC design services including DFM, package design services, and silicon shuttle services, as well as packaging and mask services.
What Is Expected By Intel:
Next month, Intel is expected to launch the notebook version of Haswell with a 50 percent better battery life compared with the Ivy Bridge. It also features an improved graphics performance dubbed as the Iris graphics. The company is very excited about its convertible implementations (combination of tablet and notebook) with several designs coming out during the upcoming holiday season.
Intel Success In Q2:
According to the analysts, Intel admitted that its success in the second quarter partly depends on the success of Windows 8, and felt that the company is better aligned with Microsoft Corporation (NASDAQ:MSFT) in terms of configuration and product pricing.
The analysts projected that Bay Trail with its class leading performance will be successful in the tablets market. According to them, “We fully anticipate that dual core Bay Trail will outperform quad core ARM variants, particularly those that need to employ ARM big.”