Even though the value PC processor segment is relatively crowded, Intel Corp.'s plans for clock speed superiority will keep it well ahead of its competitors, according to an In-Stat/MDR report released today.

The market research firm said that Intel's mobile value processors will hit 2.7GHz at the end of 2004 as it balances challenges from competitors AMD, VIA and Transmeta and maintains power dissipation within desired mobile limits but without the benefit of the power management capabilities of the performance segment. Mobile value would appear to be Intel's weakest position, given the competition of AMD's Athlon XP-M, VIA's C3 and Transmeta's Crusoe, In-Stat/MDR said.

"AMD, Transmeta and VIA will offer different combinations of performance, power and price, but Intel's dominant market share in the value market is not in any danger," says Kevin Krewell, with In-Stat/MDR, "Intel should be more concerned that the rise of 'good-enough' computing increases the appeal of the low-cost Celeron processors and puts further pressure on Intel's already decreasing ASPs."

In-Stat/MDR further found that Intel's value-processor ASP will be relatively stable from Q2 through Q2 2004, and the notebook ASP will actually increase slightly as competition weakens and the P7 microarchitecture ratchets up clock speeds. Desktop value processors should still be under some price pressure, due to slow desktop demand.

 Despite the economic slowdown, Q4 will see a slight cyclical recovery. That, coupled with the popularity of notebook computers, will allow Intel's mobile unit volume to show some growth for 2003, the firm reported.

The 0.13-micron Northwood-derived core will prove a stable platform for both desktop and mobile Celeron processors well into 2004, In-Stat/MDR added.

By: DocMemory
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