I know, but that was back in Andy Grove's time. I don't think Paul Otellini ever understood the innovator's dilemma that well. In a sense, it does seem like they get it now and try to compete with ARM, but I'm not so sure this came from within the company. I think they were pressured into it by stakeholders and the media a few years ago.
But again, even if they succeeded making competitive chips against ARM, that doesn't equal market success in the mobile market, and it doesn't equal that they will survive unless they take serious steps to survive in a world where they are just one of several companies making chips for devices, and where they might not even have a big market share of that, and where they make low-margin chips. Bottomline is they need to start firing people soon, restructure salaries, and so on. I think this is why Paul Otellini left. He didn't want to be the one to do that, and be blamed for that.
But again, even if they succeeded making competitive chips against ARM, that doesn't equal market success in the mobile market, and it doesn't equal that they will survive unless they take serious steps to survive in a world where they are just one of several companies making chips for devices, and where they might not even have a big market share of that, and where they make low-margin chips. Bottomline is they need to start firing people soon, restructure salaries, and so on. I think this is why Paul Otellini left. He didn't want to be the one to do that, and be blamed for that.