The Most Important Tech Trend of 2012

The following video is part of our "Motley Fool Conversations" series, in which senior technology analyst Eric Bleeker and developer Chris Bledsoe discuss topics across the investing world.

In today's edition, Eric and Chris dive into the battle between ARM Holdings and Intel for control of the mobile revolution. Specifically, the two look at how Intel might be able to catch up, thanks to Google taking a relatively "hardware-agnostic" approach to Android. Intel believes that more than 90% of Android market apps will be able to run on Intel mobile chips, but will that be enough to make a dent in ARM's mobile market share?

ARM Holdings is riding the revolution. However, the company is just one way to play this amazing opportunity for technology investors. The Motley Fool has just released a free report on mobile named "The Next Trillion Dollar Revolution" that details a "hidden" component play inside mobile phones that's also absolutely dominating the exploding tech market in China. Inside the report, we not only describe why the mobile revolution will dwarf any other technology revolution seen before it, but we also name the company at the forefront of the trend. Hundreds of thousands have requested access to previous reports, but you can be among the first to access this just-released report by clicking here -- it's free.

Chris Bledsoe owns shares of Google. Eric Bleeker owns shares of NVIDIA. The Motley Fool owns shares of Apple, Intel, and Qualcomm. Motley Fool newsletter services recommend Apple, Intel, and NVIDIA. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (4) | Recommend This Article (6)

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  • Report this Comment On January 24, 2012, at 3:57 PM, Red1350 wrote:

    How can you not buy Intel ( INTC). Even the dividend is great.

  • Report this Comment On January 24, 2012, at 7:44 PM, jdwelch62 wrote:

    Thanks, Eric, sounds like you're starting to see the light! And yes, it is the Intel train coming straight at you! Medfield Atom is Intel's first real entry into the mobile market, and look how well it stacks up to current ARM chips in terms of both power and performance. Also, Medfield is a 32nm chip; 22nm Tri-Gate chips are just around the corner, and they promise to be even more powerful and less energy consumptive.

    I think you're right about the Android apps; it's not all the apps that need to run efficiently on x86 chips, just the collective user community's favorite apps. It's the classic 80/20 story, where 20% effort yields 80% results, and I hope someone at Intel's Software and Services Group understands that.

    I also think you're right that Intel doesn't need to dominate the mobile space the way they do the PC and server market to make a significant impact on both the market and their bottom line. (However, I predict that by the end of 2015, Intel will have a dominate position in the mobile market...)

    Finally, look at the Manufacturing Powerhouse that is Intel! You mentioned TSMC, and there's the nut of it; the "makers" of ARM chips don't make the chips themselves at all, they take ARM's IP, add their IP and tweaks to it, and let TSMC and Samsung do the fabrication. From an ecosystem standpoint, Intel owns the whole manufacturing chain, from IP to fabs to assembly of the chips, and that means more of the profit pie ends up in Intel's coffers than any of the ARM chip "makers".

    I don't mean to wish you any ill luck with your investments, but you might want to consider dumping some of your ARM-based holdings and picking up INTC on a dip. (Although, considering its performace in the last 6 months, and its prospects for 2012, you might not want to wait too long...)

    (BTW, Dude, I suggest that in the future if you're going to be doing a video segment in the afternoon that you skip the beer at lunch. Seriously, you were goofier than usual in this report. But you're still one of my MF favorites...)

    Fool on!... :-)

  • Report this Comment On January 25, 2012, at 3:37 PM, TMFRhino wrote:

    jdwelch,

    Ha! Actually, it was a 3 martini lunch ;).

    Thanks for that!

    -Eric

  • Report this Comment On January 25, 2012, at 3:44 PM, TMFRhino wrote:

    Also...

    "I don't mean to wish you any ill luck with your investments, but you might want to consider dumping some of your ARM-based holdings and picking up INTC on a dip. (Although, considering its performace in the last 6 months, and its prospects for 2012, you might not want to wait too long...)"

    I'm actively considering my position on some recs... Lots of soul searching since as the title says... I really do believe this will be the defining battle of 2012.

    -Eric

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