Intel back in the game?
We all are familiar with the largest computer processor manufacturers, Intel (NASDAQ: INTC) and AMD (NASDAQ: AMD), although Apple (NASDAQ: AAPL) recently joined these two large companies with the creation of its M1 chip.
A few years ago AMD decided to launch a new range of gaming-oriented products, the Ryzen series. This new generation of processors was much more efficient than Intel’s at the time, so its acceptance in the market was immediate, with better performance and lower power consumption. AMD renewed its Ryzen series and presented in July 2021 the Zen 3 technology, along with its top-of-the-line processor, the Ryzen 9 5950X.
On the other hand, in 2020 Intel launched its eleventh generation of processors which did not have a big change from the previous one. This was a big disappointment for the brand’s followers.
More and more people were attracted to AMD’s technologies and performance.
Until Intel decided to get back in the game with its new generation of processors, the Alder Lake, working with Microsoft (NASDAQ: MSFT) to optimize its twelfth generation of processors for the new operating system, Windows 11.
But this joint work does not stop there. Intel teamed up with other companies, which provided support for the optimization of the new processors and are linked to content creation.
We live in a world where content creation is central. Social networks are a clear example, such as Instagram and/or Facebook (NASDAQ: FB) – both owned by Mark Zuckerberg – being heavily used by influencers. However, we must not forget platforms such as YouTube or Twitch, the latter owned by Amazon (NASDAQ: AMZN), where the creation of live content or the need to run a large number of programs simultaneously requires large processors. Gaming also takes on great relevance. However, this is not all, for the creation of content editing is needed as well.
In this case, we rely on applications such as VEGAS PRO, Adobe After Effects, Adobe Premiere (NASDAQ: ADBE) which demand lots of hardware resources.
Much of this content is in games, renders, graphic design. But what happens if all this potential is used for the creation of 3D content, which can be oriented to a virtual reality world?
We have already seen how some video cards are optimized for virtual reality, which are built with more powerful chips.
It is true that programs are demanding additional resources, but they are becoming more and more advanced in functionality, and for running virtual worlds, an increased number of powerful processors will be needed.
Intel decided to listen to the market by observing what they wanted, and decided to act accordingly by using techniques developed by companies like Qualcomm (NASDAQ: QCOM) and then Apple (AAPL) where they created high-performance chips along with low-performance chips to improve efficiency.
These high-performance processors are intended for gaming and content editing.
Are these reflections and implemented improvements enough to put Intel back as a leader in the processor market? We will have to wait for the market’s response to find out.