Intel Needs a Google Nexus Winhttp://www.fool.com/investing/general/2013/11/04/intel-needs-a-google-nexus-win.aspx Ashraf Eassa
November 4, 2013
Many Intel (NASDAQ: INTC) investors have been fixated on potential Apple deals. We've heard about rumored deals in which Intel would manufacture Apple's iPhone chips in exchange for Apple using an iPad chip designed and built by Intel. We've heard about Intel potentially building all of Apple's A-series chips. While these are interesting, they're also exceedingly unlikely; Intel doesn't want to enable a competitor, and Apple's design teams are already world-class. That being said, what Intel bulls should be looking for is a meaningful presence in 2014's Google (NASDAQ: GOOG) Nexus tablet and smartphone lineup.
Microsoft is no friend of Intel's
That's not how it happened. Despite the successful launch of Intel's Atom Z3000 series, which offers best-in-class CPU and graphics performance, Microsoft chose to forsake Intel in its Surface 2 hybrid tablet/notebook. Instead, it chose the NVIDIA (NASDAQ: NVDA) Tegra 4. While all the rest of Microsoft's OEM partners have chosen to use Intel parts, it's clear that Microsoft is no friend of Intel's.
What about Google?
But, there's hope for Intel. Google also supplies a very popular line of devices under the Nexus brand. These are typically well-designed devices that run stock Android -- no fancy user interfaces and built-in applications -- and sell essentially at cost. Today, Qualcomm, once again due to its superior silicon, holds all of the Nexus slots except the very old Nexus 10 tablet. But this is one set of devices that Intel can actually win if it provides leadership silicon.
When will leadership silicon arrive?