Intel

Intel is the largest producer of semiconductors and microprocessors in the world. Their microprocessors can be found in both Windows PC computers and Apple's IMac line. In addition to processors, Intel also makes various other computer components such as chipsets, network cards, flash memory, and graphics chips.

On May 11, 2009, media sources reported that the European Union would issue a multi-billion dollar fine against Intel for a decade of anti-competitive behavior, by midweek. The value of the shares of competitor AMD jumped in response.Information Week: Multi-Billion-Dollar EU Fine Possible Against Intel (May 11, 2009)

Anti-Competition Accusations

The European Union is expected to levy a hefty fine against Intel for anti-competitive practices on May 12, 2009. The case stems from a complaint filed by Advanced Micro Devices, which accused Intel of offering rebates to manufacturers if they bought all or most of their processors from Intel. Intel, says the suit, paid manufacturers to delay or cancel product lines with AMD chips, and engaged in bidding wars with AMD.Information Week: Multi-Billion-Dollar EU Fine Possible Against Intel (May 11, 2009)

The fine levied could be as much as 10% of its annual worldwide revenue.Information Week: Multi-Billion-Dollar EU Fine Possible Against Intel (May 11, 2009)

Ad Campaign

In May 2009, Intel is launching a major ad campaign. The ads will focus less on Intel's role as a microprocessor company, and more on the historical role that the company played, as a leader in the innovation of technology.MarketWatch: Intel launching ad campaign... (May 5, 2009)

1Q 2009

In April 2009, Intel revealed that their net income had fallen 55% in the first quarter. CEO Paul Otellini maintains that their sale figures have bottomed out and are on their way to normal levels despite outlooks that coincide with the company's street value, which was at its lowest level in 12 years. MarketWatch: Intel 1Q Net Down 55%; 2Q Revenue View In Line With Street(April 14, 2009)

History

Intel was founded by Robert Noyce and Gordon Moore in 1968. Intel created the very first CPU in 1971, but they did not become the main producer of CPU's until the personal computer came around in the mid to late 1990s. During this time, Intel heavily invested in the future of microprocessors and eventually became the world's most trusted brand with the "Intel Inside" advertising campaign.

Moore's Law

In 1965, co-founder Gordon Moore coined a term named Moore's Law. In this law, it is said that the number of transistors that can be put on a circuit will double exponentially approximately every two years.

Competition

With the success of the early Intel processors, another brand started to come around named AMD. AMD was another company that chose to take advantage of the microprocessor boom. However, Intel and AMD have had cross-licensing contracts with each other since 1976 so they are both free to use each other's designs after a set amount of time. The contract expires though if either one of them goes bankrupt.

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