Intel Corporation (INTC): Three Areas Of Interest For Its Next CEO

Ultrabooks

While the PC market is shrinking, ultrabooks look like the next progression for personal computing — 50% of computer purchasers are content creators, a craft that doesn’t lend itself well to tablets. Despite a slow response to ultrabooks in 2011, Intel increased its portfolio from 20 to 140 ultrabook designs last year. What’s more, Intel’s chips can be found in the most popular ultrabook competitor – Apple’s Macbook Air.

Intel Corporation (NASDAQ:INTC) is working to develop chips that provide better power-efficiency and lower costs. The company expects that by the end of the year, it will be able to extend an ultrabook’s battery life to 13 hours, while reducing the price on the low end to $599. Comparatively, in the 2011 ultrabook cycle battery life maxed out around 7 hours and the prices were rarely below $1,000.

With ultrabooks, Intel has all the advantages it has in the mobile space in addition to already controlling a dominant market share. Technically, Intel controls 100% of the ultrabook market share, and always will because it trademarked the term “Ultrabook.”

ARM-holdings is expected to enter the market this year, and Advanced Micro Devices, Inc. (NYSE:AMD) will likely do the same with its HSA technology. Without the ultrabook name at their disposal, however, it will take a lot of marketing power to overcome Intel, and I simply don’t see that happening.

Intel’s next CEO will need to do a lot to ensure that the new low-end ultrabook devices make customers excited. These are the devices that will go head-to-head with the iPad and Microsoft’s Surface on both features and price. It needs to add touch screens and extend the low-end devices battery lives, but more importantly, it needs to compete with the competitors huge marketing campaigns.

A lot to process

While the next CEO of Intel Corporation (NASDAQ:INTC) is still unknown, the direction the company is headed looks positive. It will be up to the new appointee to execute a plan that drives further growth in the above three areas. The company can’t just rely on its superior technology and design; it needs strong leadership to bring the company’s innovations to the market. We’ll find out soon who Intel has chosen, and what exactly he or she plans to do to change the company to fit its changing customers.

Adam Levy has no position in any stocks mentioned. The Motley Fool recommends Intel. The Motley Fool owns shares of Intel.