Chip giant Intel Corp is optimistic about its growth in the Asia Pacific area for the rest of the year amid steady PC demand and a rollout of new products, a company executive said on August 30.
In a fierce competition with smaller rival Advanced Micro Devices Inc, the world's top chip maker has fought back with a slate of new chips and price cuts on older ones.
After gaining market share from Intel in 2005 and most of 2006, AMD went through a dramatic downturn after Intel's fightback strategy. "We are not giving any forecasts for either Q3 or the second half but we do believe, in general, that the product strength we have is very well received by customers," said John Antone, General Manager of Intel Asia-Pacific, excluding China and Japan, told Reuters in a telephone interview.
He declined to give any financial forecasts. Intel's share of market for processors that power most personal computers was 85.3 percent in the second quarter in the region, according to market researcher IDC. That was flat from the first quarter but notched up 0.3 percentage points from the fourth quarter of last year.
Asked about any possible impact from the US subprime market woes or an economic slowdown, Antone said there is still growth potential for PCs, in both mature and emerging markets.
For new PCs, Intel and Microsoft have also joined forces to introduce the new ultra mobile PC platform. Many Asian PC makers have cranked out new models to test demand. In the region, PC shipments are projected to grow an annual 14 percent to reach 28.3 million units this year, and the growth rate will be similar next year, IDC said.
New technology is also key to growth - Intel will begin using the advanced 45-nanometer process technology this year, which includes new materials that boost chip efficiency by cutting leakage of electrical current. That will underscore the firm's efforts to keep up with Moore's Law, the industry maxim laid down by Intel co-founder Gordon Moore, by introducing a new process generation every two years.
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