The most popular fear of Intel

2022-08-01
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Fear of Intel

in the eyes of the vast majority of people in the global IT industry, Intel is a paranoid profit seeking company and a synonym for "cold economic animal". However, it is undeniable that Intel has developed from a small chip manufacturing enterprise to a leading processor provider. Intel is also a very successful company with unique corporate management and cultural concepts. To this end, with questions, it time went deep into Intel China to search for their presence in Beijing, Shanghai, Shenzhen and Chengdu, trying to reveal their unknown side

1955, the famous Shockley Semiconductor Laboratory in the history of Silicon Valley in the United States came to a new member in his twenties, who did not leave a special impression. However, the young man who liked to dismantle his father's Ford Motor Engine in his childhood was actually Bob Noyce, one of the famous "Shockley eight" in the future, who was also the founder of Intel

in July 1959, Noyce invented the integrated circuit in Fairchild company founded by itself and other "Shockley seven heroes". This invention did not cause a sensation in the industry at that time. It was only regarded as a "work of art with a whim" by Wall Street investors, but Noyce saw the bright future of integrated circuits. So in 1968, he made the biggest decision of his life: to leave Fairchild and create Intel

it is precisely because the founders have an inborn spirit of exploration that Intel has been branded with "innovation" since its inception. From the continuous introduction of faster and better processors to the dominance of the industry, it is enough to prove that Intel has achieved this

Intel's performance in China is a typical epitome of Intel

In the past 20 years, this legendary large enterprise has also experienced a history of entrepreneurship and development from unknown origin to well-known in China: from simple market profit seeking in the early stage to technology research and development, investment and factory building, and education programs. They have participated in the Chinese market in an all-round way, creating an industrial ecological environment in the digital age of sustainable development, Its impact goes far beyond the IT industry itself

technological innovation is centered on the heart

1985, the year of the ox, in this year suitable for pioneering work, Intel began its journey to China. He set his foothold in China at room 1505, 15/F, CITIC tower, Beijing. The first general manager was named Linzhixuan. In addition to a secretary, Intel China office has only a driver and an aunt who pours water. "Old Intel" described the representative office as Intel's "China Travel Agency"

at that time, few people in China knew Intel when computers were rare. Many people who first saw Intel's job ads even thought he was a company making chips

while entering the Chinese market, Intel encountered the biggest crisis in its development history: in the 1980s, the pattern of the global semiconductor industry shifted, and Japan's semiconductor industry dominated the world because of its leading manufacturing technology in the United States. Between 1985 and 1986, Japanese made memory chips (DRAM) completely compared Intel's similar products with the characteristics of stable performance, large storage capacity and low price. The latter was in trouble and faced bankruptcy. Historical data shows that the storage business accounted for 80% of the company's business volume at that time

"this year, Intel made a decision to abandon the storage business and turn to the R & D and sales of microprocessors. At that time, the latter accounted for less than 15% of the company's total business." A former senior executive of Intel recalled to it time, "this is a decision Intel had to make because it was forced to go to the top."

coincidentally, in the same year, the computer market in China (called microcomputer in China at that time) began to show vitality. The direct reason was that enterprises began to introduce computers on a large scale as a tool for word and table processing. Intel came to China with the latest 386 processor at the right time

the value of Intel has been recognized by the Chinese industry because it has pushed the running speed of computers to a new level, and its history here has officially begun

however, the early application of computers was still very simple and boring, and the narrow use of computers directly led to the difficulties in their application. According to Yang Xu, vice president of Intel and general manager of Asia Pacific region, many people had the question "why did they invent computers to replace typewriters"

after the launch of the epoch-making "Pentium" (once known as "586") series processors, everything changed in essence. In 1993, Intel introduced the first Pentium processor. Since then, computers have entered the Pentium era - the multimedia era. For the first time, people can easily process and reproduce all kinds of data, voice, images and video with the help of computers

strategy innovation takes the new practice

as a technology-based enterprise, Intel has labeled itself as the market vane and leader

1992, after the development of the 5th generation chip, Intel named it "Pentium" (the Chinese name is homonymous with "Pentium"). The new words sounded sonorous and powerful, but they were not immediately accepted by the Chinese people

"from 1993 to 1994, the Chinese market was dominated by 386, and there was a lot of controversy about whether China should have Pentium products. Hongzhi computer (AST) and Compaq (these two brands were competing for the first place in the Chinese market at that time, but they don't exist now) think that China doesn't need Pentium at all. Using 386 is enough. Even computers seeking higher performance should be 486." The former Intel executives mentioned above still have fresh memories of the situation at that time

however, through an incident (in 1994, many foreign companies sold their old picture tubes and production lines to China, which triggered a discussion on whether China is a garbage dump and made Chinese people think about what kind of products China needs), Intel realized that to promote the development of China's technology and market, it must need Chinese software. Only more Chinese software can make the use of computers easier, So that more people can use computers

at that time, there were few independently developed application software in China, and most of them could not be applied to Pentium computers. To this end, Intel quickly set up a software laboratory in Shanghai to "build a bridge" for Chinese software enterprises free of charge - introducing foreign software vendors to China, introducing new software technologies, and providing Intel Software Technologies free of charge to domestic software vendors and OEMs

the cultivation of the market matches the excellent mainstream, so that computer users refuse to use computers with non Intel processors

based on the same flexible strategy, Intel has become the first enterprise to rent models at the exhibition and to do "experience center sales" in China...

Chapter 2: helping each other and cooperation

Intel is often regarded as the embodiment of monopoly and hegemony, but its success in China, on the contrary, in addition to the innovation of technology and strategy, there is also a very important factor, that is, sincere cooperation with Chinese enterprises

do not ridicule Intel as a "hypocritical philanthropist and hidden ambitious", because as an enterprise, profit is the innate goal. And the profit must depend on the growth of partners. One of the most frequently said words by Intel employees is, "only when our partners are good, can we be good"

Grove's "inverted triangle"

in 1998, Andy Grove, former president of Intel, visited China for the first time. During this period, the president who believed that "only paranoia can survive" drew an "inverted triangle". He pointed out: the top is China's economy, the middle is China's IT industry, and the bottom is Intel, which means that Intel can only support the development of China's economy by supporting China's IT industry. On the contrary, the development of China's IT industry can lead to the development of Intel

grove saw very far, but before he drew the "inverted triangle", someone in Intel China had realized this

before and after 1994, the domestic PC market was dominated by foreign brands, when B.2 ± 0.5mm/min or 2.5 ± 0.5mm/min; There are many debates in the industry: is there any hope for domestic PC enterprises? Which is important for domestic and foreign enterprises? Such discussions are also taking place within Intel

Hong Li, project manager of Intel digital home, can still recall the situation at that time. At that time, he had just joined Intel and was completely in the position of supporting domestic brands. In order to prove his point of view, he was busy writing a report to the company, introducing who Lenovo is, and answering questions such as why he should support the development of domestic PC manufacturers, so that Qiao song (now the senior vice president of Lenovo Group) called him a "master of writing reports"

"at that time, almost everyone was curious about Lenovo. Some people questioned why they supported a PC manufacturer with an annual sales volume of only 100000 units." Hong Li said

the appeals of a group of "patriotic youth" from Intel China, such as Hong Li, were directly transmitted to Sean Maloney, vice president of Intel. Based on the "inverted triangle" theory, Ma, who used to be Grove's technical assistant, believes that the success of Intel must be based on the success of China's IT industry. He smoothly passed on these concepts to Grove, and was recognized by the latter

Yang Xu's lobbying

in 1994, Intel began to closely contact with mainstream PC brands in China, including Lenovo, great wall, Inspur and Changjiang. In February of the same year, Yang Xu, who was in charge of the customer work in the Asia Pacific region, began to visit domestic manufacturers one by one, and even spent a spring festival in Shanghai's Changjiang Computer Group to understand their PC development strategies

Yang Xu is faced with the situation that domestic PC manufacturers always feel that they can't compete with foreign manufacturers such as Compaq and AST. They think that as long as they are cheaper than them. The situation forces Yang Xu to constantly instill new ideas into domestic manufacturers - this is not an unbreakable myth. Why should he follow the trend rather than lead it? At the same time, Yang Xu also sees the opportunity for domestic manufacturers - when chip technology is upgraded, the market pattern is bound to change. "From the perspective of the global computer market, the emergence of 286, 386 and 486 has produced new changes. Domestic manufacturers have seen and recognized this analysis, but no one has taken action." Yang Xu said

in order to make the domestic brand "Pentium" as soon as possible, Yang Xu took the Pentium motherboard to meet Luming, then the general manager of Great Wall group. Luming thought that Intel wanted to do the motherboard business. He was very unhappy because the Great Wall group's strategy was to focus on parts production. Yang Xu went to Lenovo for the first time and visited Yang Yuanqing, who was in charge of Lenovo's computer business department at that time. Yang Yuanqing also failed to figure out why Intel wanted to make Pentium motherboard. Although Yang Xu later explained that "Pentium is an opportunity for Lenovo, and OEM Pentium motherboard is a shortcut to launch Pentium as soon as possible", Lenovo has been hesitant because it still has 486 microprocessors. It was not until the end of 1995 that yangyuanqing took the initiative to come to the door and worked with Yangxu to promote the famous Lenovo "ten thousand yuan Pentium" computer, which completely changed the domestic computer manufacturers' understanding of the current situation of the computer industry

according to the introduction of Lenovo's old employees, Lenovo has long wanted to rise, but it can't afford it

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