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Intel is at Siggraph 2013 with a wide range of announcements about the latest high-fidelity visualization software advancements, including open source projects led by Intel. Highlights include the newest in high-fidelity ray-tracing from the upcoming 2.0 release of the Embree open source project. In UX design taking a cue from game development, the Rig project creates an advanced 3D UI tool for visual designers, harnessing more GPU capabilities, providing realistic device feedback, and more dynamic visuals. Come see the first demonstration of Autodesk* Opticore Professional Studio* on Intel® Xeon Phi™  co-processors. Technical sessions, paper presentations and demos on these and many other topics with schedules and locations are available here. Find Intel at booth #201.

Intel announced today that it acquired Xtremeinsights,Inc. to help drive adoption of the Intel Distribution for Apache Hadoop. The privately held big data analytics consulting company is focused on Hadoop deployments for advanced analytics and machine learning. The team, based in Schaumberg, Ill., joined Intel’s Datacenter Software Division led by vice president and general manager, Boyd Davis.

Is Intel interested in the future of graphics? At this week’s SIGGRAPH, almost a third of all presented papers are authored by researchers funded either partially or fully by the Intel Visual Computing Institute and the Intel Science and Technology Center for Visual Computing. This is up from 25 percent last year. More information can be found here and clicking on the “papers” tab. Stay tuned for more Chip Shots on Intel at SIGGRAPH 2013.

Intel today outlined its strategy to re-architect the datacenter infrastructure to enable companies and end-users to benefit from an increasingly services-oriented, mobile world. The company announced additional details about its next-generation Intel® Atom™ processor C2000 product family (codenamed “Avoton” and “Rangeley”), as well as disclosed its roadmap of next-generation 14nm products for 2014 and beyond. In a step towards reaching its Rack Scale Architecture vision, Intel also announced the first commercial rack scale implementation with Rackspace* Hosting. This robust pipeline of current and future products and technologies will allow Intel to expand into new segments of the datacenter that look to transition from proprietary designs to more open, standards-based compute models. More information is available in the press kit.

New Era of Services-Oriented Datacenters Gives Opportunities for Expansion

 

NEWS HIGHLIGHTS

  • Reveals new details of the forthcoming 22nm Intel® Atom™ processors C2000 product family, enabling the company to target a larger portion of the datacenter market.
  • Unveils future roadmap of 14nm datacenter products including a system-on-chip (SoC) that for the first time will incorporate Intel's next-generation Broadwell architecture to address an even broader range of workloads.
  • Rackspace Hosting* announces that it will deploy a new generation of rack designs as part of its hybrid cloud solutions aligned with Intel's Rack Scale Architecture vision.

 

 

SAN FRANCISCO, Calif., July 22, 2013 – As the massive growth of information technology services places increasing demand on the datacenter, Intel Corporation today outlined its strategy to re-architect the underlying infrastructure, allowing companies and end-users to benefit from an increasingly services-oriented, mobile world.

 

The company also announced additional details about its next-generation Intel® Atom™ processor C2000 product family (codenamed "Avoton" and "Rangeley"), as well as outlined its roadmap of next-generation 14nm products for 2014 and beyond. This robust pipeline of current and future products and technologies will allow Intel to expand into new segments of the datacenter that look to transition from proprietary designs to more open, standards-based compute models.

 

"Datacenters are entering a new era of rapid service delivery," said Diane Bryant, senior vice president and general manager of the Datacenter and Connected Systems Group at Intel. "Across network, storage and servers we continue to see significant opportunities for growth. In many cases, it requires a new approach to deliver the scale and efficiency required, and today we are unveiling the near and long-term actions to enable this transformation."

 

As more mobile devices connect to the Internet, cloud-based software and applications get smarter by learning from the billions of people and machines using it, thus resulting in a new era of context-rich experiences and services. It also results in a massive amount of network connections and a continuous stream of real-time, unstructured data. New challenges for networks, computing and storage are emerging as the growing volume of data is transported, collected, aggregated and analyzed in datacenters. As a result, datacenters must be more agile and service-driven than ever before, and easier to manage and operate.

 

The role of information technology has evolved from being a way to reduce costs and increase corporate productivity to becoming the means to deliver new services to businesses and consumers. For example, Disney* recently started providing visitors with wirelessly connected-wristbands to enhance customers' in-park experience through real-time data analytics. Additionally, a smart traffic safety program from Bocom* in China seeks to identify traffic patterns in a city of ten million people and intelligently offers better routing options for vehicles on the road.

 

'Re-Architecting' Network, Storage and Servers
To help companies prepare for the next generation of datacenters, Intel revealed its plans to virtualize the network, enable smart storage solutions and invest in innovative rack optimized architectures.

 

Bryant highlighted Intel's Rack Scale Architecture (RSA), an advanced design that promises to dramatically increase the utilization and flexibility of the datacenter to deliver new services. Rackspace Hosting*, an open cloud company, today announced the deployment of new server racks that is a step toward reaching Intel's RSA vision, powered by Intel® Xeon® processors and Intel Ethernet controllers with storage accelerated by Intel Solid State Drives. The Rackspace design is the first commercial rack scale implementation.

 

The networking industry is on the verge of a transition similar to what the server segment experienced years ago. Equipping the network with open, general purpose processing capabilities provides a way to maximize network bandwidth, significantly reduce cost and provide the flexibility to offer new services. For example, with a virtualized software defined network, the time to provision a new service can be reduced to just minutes from two to three weeks with traditional networks. Intel introduced Open Network Platform reference designs to help OEMs build and deploy this new generation of networks.

 

Data growth is a challenge to all datacenters and transferring this large volume of data for processing within a traditional, rigid storage architecture is costly and time consuming. By implementing intelligent storage technologies and tools, Intel is helping to reduce the amount of data that needs to be stored, and is improving how data is used for new services.

 

Traditional servers are also evolving. To meet the diverse needs of datacenter operators who deploy everything from compute intensive database applications to consumer facing Web services that benefit from smaller, more energy-efficient processing, Intel outlined its plan to optimize workloads, including customized CPU and SoC configurations.

 

As part of its strategy, Intel revealed new details for the forthcoming Intel® Atom™ processors C2000 product family aimed for low-energy, high-density microservers and storage (codenamed "Avoton"), and network devices (codenamed "Rangeley"). This second generation of Intel's 64-bit SoCs is expected to become available later this year and will be based on the company's 22nm process technology and the innovative Silvermont microarchitecture. It will feature up to eight cores with integrated Ethernet and support for up to 64GB of memory.

 

The new products are expected to deliver up to four times1,3 the energy efficiency and up to seven times1,2 more performance than the first generation Intel Atom processor-based server SoCs introduced in December last year. Intel has been sampling the new Intel Atom processor server product family to customers since April and has already more than doubled the number of system designs compared to the previous generation.

 

Roadmap for Expansion
The move to services-oriented datacenters presents considerable opportunities for Intel to expand into new segments. To help bolster the underlying technologies that power much of the next generation of datacenters, Intel outlined its roadmap of next-generation products based on its forthcoming 14nm process technology scheduled for 2014 and beyond. These products are aimed at microservers, storage and network devices and will offer an even broader set of low-power, high-density solutions for their Web-scale applications and services.

 

The future products include the next generation of Intel Xeon processors E3 family (codenamed "Broadwell") built for processor and graphic-centric workloads such as online gaming and media transcoding. It also includes the next generation of Intel Atom processor SoCs (codenamed "Denverton") that will enable even higher density deployments for datacenter operators. Intel also disclosed an addition to its future roadmap – a new SoC designed from the ground up for the datacenter based on Intel's next-generation Broadwell microarchitecture that follows today's industry leading Haswell microarchitecture. This SoC will offer higher levels of performance in high density, extreme energy efficient systems that datacenter operators will expect in this increasingly services-oriented, mobile world.

 

View the Multimedia Press Kit
(includes the full story with high resolution photos, videos, quotes, fact sheets, and more)

 

About Intel
Intel (NASDAQ: INTC) is a world leader in computing innovation. The company designs and builds the essential technologies that serve as the foundation for the world’s computing devices. Additional information about Intel is available at newsroom.intel.com and blogs.intel.com.

 

Intel, Atom, Xeon and the Intel logo are trademarks of Intel Corporation in the United States and other countries.

 

* Other names and brands may be claimed as the property of others.

 

Software and workloads used in performance tests may have been optimized for performance only on Intel microprocessors.  Performance tests, such as SYSmark and MobileMark, are measured using specific computer systems, components, software, operations and functions.  Any change to any of those factors may cause the results to vary.  You should consult other information and performance tests to assist you in fully evaluating your contemplated purchases, including the performance of that product when combined with other products.
For more information go to www.intel.com/performance.

 

1 vs Intel® Atom™ S2100. Intel Atom C2000 pre-production silicon measurements. Intel internal measurements as of July 2013.

 

2 Dynamic Web Benchmark: Atom S1260 (8GB,SSD,1GbE), Estimated Score=1522.  Atom C2xxx (32GB, SSD,10GbE), Estimated Score=11109. Atom S1260:  DBC SDP w/Intel® Atom™ S1260 (2.0GHz, 2C), Hyper-Threading Enabled, 1x8GB DDR3-1333 MHz UDIMM ECC, BIOS version D134.4, Fedora* 17, Linux Kernel 3.3.4-5fc.x86_64, Apache 2.2.22, PHP 5.4.7, Boot Drive 1x 150GB SSD, Addl Drive 2x 150GB SSD, 2xGbE, Score: 1522
Atom C2xxx:  MPK SDP w/Intel® Atom™ C2xxx (8C), Turbo Disabled, 4x8GB DDR3-1600 MHz UDIMM ECC, BIOS version 18D05, Fedora* 17, Linux Kernel 3.3.4-5fc.x86_64, Apache 2.2.22, PHP 5.4.7, Boot Drive 1x150GB SSD, Addl Drive 1x 800GB SSD, 1x10GbE, Score: 11109

 

3 Results are estimated by Intel using the SPEC benchmark software cited and are provided for informational purposes only.  Any difference in system hardware or software design or configuration may affect actual performance.
Atom™ S1260:  FOR.INTEL.cpu2006.1.2.ic13.1.linux64.01june2013, Supermicro* 5017A-EF with one Intel® S1260 processor (2-core 2.0GHz), EIST Enabled, Hyper-Threading Enabled, 8GB memory (1x 8GB DDR3-1333 UDIMM ECC), 250GB SATA 7200RPM HDD, Red Hat Enterprise Linux 6.4 .  Score: Estimated SPECint*int_rate_base2006=18.7. Est. Node Power=20W
Atom™ C2xxx: FOR.INTEL.cpu2006.1.2.ic13.1.linux64.01june2013, Intel® Mohon Peak Alpha platform with one Intel® Avoton processor (8-core), Turbo Boost Disabled, 16GB memory (2x 8GB DDR3-1600 UDIMM ECC), 250GB SATA 7200RPM HDD, Red Hat Enterprise Linux 6.4.  Score: Estimated SPECint_rate_base2006=69, Est. Node Power=19W

The now-ubiquitous mobile device collects a wealth of information about user habits, lifestyle and even health. Using the data collected from these devices, consumers are able to make inferences about and changes to their behaviors, and understand and assess their actions at a level previously not possible. Intel’s Tony Salvador, director of Experience Insights Research, Dave Mathews, CEO and founder of NewAer, and Jef Holove, CEO at Basis Point, hosted a panel at MobileBeat 2013 to discuss the rapidly changing mobile industry and their perspectives on mobile sensors, emerging technologies and the future of Mobile. The Intel Mobile Insights team caught up with the speakers onsite for their thoughts on how users can avoid sensory overload from mobile devices and enjoy a more beneficial user experience through these new technologies. Check out their videos.

Intel has formed a research collaboration with leading universities worldwide to explore technologies for next-generation wireless networks. Intel
is investing at least $3 million to support wireless research at more than 10 universities including Stanford University, ITT Delhi and Pompeu Fabra University. The work focuses on topics including how to improve quality of service via context awareness, wireless device power efficiency and enabling new radio spectrum. The “Intel Strategic Research Alliance” includes industry partner Verizon.

Intel® Integrated Performance Primitives (Intel® IPP) 8.0 is now available to help application developers with a library of software functions for multimedia processing, data processing, and communications. This latest version of Intel IPP includes a new C/C++ library as well as an industry leading device-side OpenCL* library. Both libraries are intended to improve advanced image processing on Intel processor graphics, enabling developers to maximize performance, throughput and power efficiency from Intel® HD  Graphics and Intel® Iris™ Graphics. These features are available as a free download.  In addition, a production version of Intel IPP 8.0 supporting both Android* phones and tablets as well as a new download package for Apple OS X* developers are available for purchase.

  • 4th Generation Intel® Core™ processor and Silvermont architecture unveiled to strong acceptance
  • New Intel® Atom™ processor and Intel LTE solution tapped for Samsung* GALAXY Tab-3 10.1-inch
  • New leadership team implemented one of the most significant management reorganizations in a decade

 

SANTA CLARA, Calif., July 17, 2013 -- Intel Corporation today reported second-quarter revenue of $12.8 billion, operating income of $2.7 billion, net income of $2.0 billion and EPS of $0.39. The company generated approximately $4.7 billion in cash from operations, paid dividends of $1.1 billion, and used $550 million to repurchase 23 million shares of stock.

 

"In the second quarter, we delivered on our quarterly outlook and made several key product announcements," said Intel CEO Brian Krzanich. "In my first two months as CEO, I have listened to a wide variety of views about Intel and our industry from customers, employees and my leadership team and I am more confident than ever about our opportunity as a company."

 

"Looking ahead, the market will continue buying a wide range of computing products," he added. "Intel Atom and Core processors and increased SOC integration will be Intel's future. We will leave no computing opportunity untapped. To embrace these opportunities, I've made it Intel's highest priority to create the best products for the fast growing ultra-mobile market segment."

 

Q2 Key Financial Information and Business Unit Trends

  • PC Client Group revenue of $8.1 billion, up 1.4 percent sequentially and down 7.5 percent year-over-year.
  • Data Center Group revenue of $2.7 billion, up 6.1 percent sequentially and flat year-over-year.
  • Other Intel® Architecture Group revenue of $942 million, down 3.7 percent sequentially and down 15.0 percent year-over-year.
  • Gross margin of 58 percent, up 2 percentage points sequentially and down 5 percentage points year-over-year.
  • R&D plus MG&A spending of $4.7 billion, in line with the company's expectation of approximately $4.7 billion.
  • Tax rate of 26 percent.

 

Financial Comparison
Quarterly
Q2 2013Q1 2013vs. Q1 2013
Revenue$12.8 billion$12.6 billionup 2%
Gross Margin58.3%56.2%up 2.1 pts.
Operating Income$2.7 billion$2.5 billionup 8%
Net Income$2.00 billion$2.05 billiondown 2%
Earnings Per Share39 cents40 centsdown 3%

 

Business Outlook

Intel's Business Outlook does not include the potential impact of any business combinations, asset acquisitions, divestitures or other investments that may be completed after July 17.

 

Q3 2013

  • Revenue: $13.5 billion, plus or minus $500 million.
  • Gross margin percentage: 61 percent, plus or minus a couple of percentage points.
  • R&D plus MG&A spending: approximately $4.8 billion.
  • Amortization of acquisition-related intangibles: approximately $70 million.
  • Impact of equity investments and interest and other: approximately $400 million net gain.
  • Depreciation: approximately $1.7 billion.

 

Full-Year 2013

  • Revenue: Approximately flat year-on-year, down from prior expectations of low single digit percentage increase.
  • Gross margin percentage: 59 percent, plus or minus a couple percentage points, down from prior expectations of 60 percent, plus or minus a few percentage points.
  • R&D plus MG&A spending: $18.7 billion, plus or minus $200 million, down $200 million from prior expectations.
  • Amortization of acquisition-related intangibles: approximately $300 million, unchanged from prior expectations.
  • Depreciation: $6.8 billion, plus or minus $100 million, unchanged from prior expectations.
  • Tax Rate: approximately 26 percent for each of the remaining quarters of the year.
  • Full-year capital spending: $11.0 billion, plus or minus $500 million, down $1.0 billion from prior expectations.

 

For additional information regarding Intel's results and Business Outlook, please see the CFO commentary at: www.intc.com/results.cfm.

 

Status of Business Outlook

Intel's Business Outlook is posted on intc.com and may be reiterated in public or private meetings with investors and others. The Business Outlook will be effective through the close of business September 13 unless earlier updated; except that the Business Outlook for amortization of acquisition-related intangibles, impact of equity investments and interest and other, and tax rate, will be effective only through the close of business on July 24. Intel's Quiet Period will start from the close of business on September 13 until publication of the company's third-quarter earnings release, scheduled for October 15, 2013. During the Quiet Period, all of the Business Outlook and other forward-looking statements disclosed in the company's news releases and filings with the SEC should be considered as historical, speaking as of prior to the Quiet Period only and not subject to an update by the company.

 

Risk Factors

The above statements and any others in this document that refer to plans and expectations for the third quarter, the year and the future are forward-looking statements that involve a number of risks and uncertainties. Words such as "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates," "may," "will," "should" and their variations identify forward-looking statements. Statements that refer to or are based on projections, uncertain events or assumptions also identify forward-looking statements. Many factors could affect Intel's actual results, and variances from Intel's current expectations regarding such factors could cause actual results to differ materially from those expressed in these forward-looking statements. Intel presently considers the following to be the important factors that could cause actual results to differ materially from the company's expectations.

  • Demand could be different from Intel's expectations due to factors including changes in business and economic conditions; customer acceptance of Intel's and competitors' products; supply constraints and other disruptions affecting customers; changes in customer order patterns including order cancellations; and changes in the level of inventory at customers. Uncertainty in global economic and financial conditions poses a risk that consumers and businesses may defer purchases in response to negative financial events, which could negatively affect product demand and other related matters.
  • Intel operates in intensely competitive industries that are characterized by a high percentage of costs that are fixed or difficult to reduce in the short term and product demand that is highly variable and difficult to forecast. Revenue and the gross margin percentage are affected by the timing of Intel product introductions and the demand for and market acceptance of Intel's products; actions taken by Intel's competitors, including product offerings and introductions, marketing programs and pricing pressures and Intel's response to such actions; and Intel's ability to respond quickly to technological developments and to incorporate new features into its products.
  • The gross margin percentage could vary significantly from expectations based on capacity utilization; variations in inventory valuation, including variations related to the timing of qualifying products for sale; changes in revenue levels; segment product mix; the timing and execution of the manufacturing ramp and associated costs; start-up costs; excess or obsolete inventory; changes in unit costs; defects or disruptions in the supply of materials or resources; product manufacturing quality/yields; and impairments of long-lived assets, including manufacturing, assembly/test and intangible assets.
  • The tax rate expectation is based on current tax law and current expected income. The tax rate may be affected by the jurisdictions in which profits are determined to be earned and taxed; changes in the estimates of credits, benefits and deductions; the resolution of issues arising from tax audits with various tax authorities, including payment of interest and penalties; and the ability to realize deferred tax assets.
  • Gains or losses from equity securities and interest and other could vary from expectations depending on gains or losses on the sale, exchange, change in the fair value or impairments of debt and equity investments; interest rates; cash balances; and changes in fair value of derivative instruments.
  • Intel's results could be affected by adverse economic, social, political and physical/infrastructure conditions in countries where Intel, its customers or its suppliers operate, including military conflict and other security risks, natural disasters, infrastructure disruptions, health concerns and fluctuations in currency exchange rates.
  • Expenses, particularly certain marketing and compensation expenses, as well as restructuring and asset impairment charges, vary depending on the level of demand for Intel's products and the level of revenue and profits.
  • Intel's results could be affected by the timing of closing of acquisitions and divestitures.
  • Intel's results could be affected by adverse effects associated with product defects and errata (deviations from published specifications), and by litigation or regulatory matters involving intellectual property, stockholder, consumer, antitrust, disclosure and other issues, such as the litigation and regulatory matters described in Intel's SEC reports. An unfavorable ruling could include monetary damages or an injunction prohibiting Intel from manufacturing or selling one or more products, precluding particular business practices, impacting Intel's ability to design its products, or requiring other remedies such as compulsory licensing of intellectual property.

 

A detailed discussion of these and other factors that could affect Intel's results is included in Intel's SEC filings, including the company's most recent reports on Form 10-Q and Form 10-K.

 

Earnings Webcast

Intel will hold a public webcast at 2 p.m. PDT today on its Investor Relations website at www.intc.com. A webcast replay and MP3 download will also be available on the site.

 

Intel plans to report its earnings for the third quarter of 2013 on October 15, 2013. Immediately following the earnings report, the company plans to publish a commentary by Stacy J. Smith, executive vice president and chief financial officer, at www.intc.com/results.cfm. A public webcast of Intel's earnings conference call will follow at 2 p.m. PDT at www.intc.com.

 

Starting with the third-quarter earnings announcement on October 15, 2013, the company plans to post its quarterly earnings results on its Investor Relations website, at www.intc.com/results.cfm, and no longer distribute quarterly financial details through a news wire service. The company may choose to issue other financial-related news through a news wire service in addition to its Investor Relations website.

 

About Intel
Intel (NASDAQ: INTC) is a world leader in computing innovation. The company designs and builds the essential technologies that serve as the foundation for the world’s computing devices. Additional information about Intel is available at newsroom.intel.com and blogs.intel.com.

 

Intel, the Intel logo, Atom and Core are trademarks of Intel Corporation in the United States and other countries.

 

*Other names and brands may be claimed as the property of others.

 

The more we share online, the more likely we put ourselves at risk. Birthdays, credit cards, social security numbers are often divulged too frequently and accidentally and lead to major security fails. This summer, Intel® and McAfee® are encouraging you to stop and think, “Am I sharing too much information?” by learning how to better avoid the pitfalls of oversharing at intel.com/tmi. Starting today, Intel is launching a sweepstakes where participants can share videos that illustrate digital disinhibition - when we share more online than we would in real life - to win an Intel-inspired Ultrabook™ and McAfee LiveSafe™. Remember: if you wouldn't share it in real life, don't do it online. Also visit the online press kit.

Intel launched today the Intel® Virtual Gateway, a cross-platform keyboard-video-mouse (KVM) software development kit designed to offer solution providers enhanced capabilities for diagnosing and troubleshooting datacenter hardware. Using the Intel Virtual Gateway, IT managers can securely configure or fix compatible components such as servers, network switches and storage devices remotely across multiple sessions regardless of whether the device operating system is functioning or not. The Intel Virtual Gateway can support up to 10,000 managed devices and 50 simultaneous sessions of remote access. The first solution provider to integrate Intel Virtual Gateway is Schneider-Electric in its StruxureWare™ datacenter product. For more information, please see www.intel.com/vgateway.

Ajay Bhatt and his team won the prestigious European Inventor Award in the 'Non-European Countries' category for developing USB technology. Read the conversation conducted with Ajay on his thoughts of the European Inventor Award, USB technology, future plans and more.

Intel Capital, Intel Corporation’s global investment and mergers and acquisitions organization, today celebrated 10 years of investing in Russia and the Commonwealth of Independent States. Intel Capital entered Russia in 2003 with an investment in internet company Ru-Net/Yandex and since then has invested in 15 companies across the region. Speaking at an Intel Capital event to mark the occasion, Arvind Sodhani, president of Intel Capital and executive vice president at Intel, detailed Intel Capital’s history and success in the region: “As one of the first international venture capital investors in the country, we have invested in and worked alongside the strong local engineering talent behind many of the region’s most exciting technology innovations. In turn, these companies have benefited from the unique global perspective Intel Capital provides entrepreneurs along with the resources, network and expertise to help them grow their businesses.” View the press release for more information.

Intel is expanding its Intel® System Studio to developers creating applications for embedded Linux* operating systems. Intel System Studio for Linux* gives developers deep insights into hardware and software performance, enabling them to speed up the development and testing process, enhance code stability and boost power efficiency and performance of Intel® Xeon®, Intel® Core™ and Intel® Atom™ processor-based embedded and mobile systems. Intel System Studio is also available with JTAG Debugger which provides advanced system debug capabilities that help system developers accelerate time-to-market and strengthen reliability of these increasingly complex embedded systems. Read more information about the Intel System Studio.

Now available on the Amazon Marketplace, the Intel® Expressway API manager helps enterprises deliver new mobile apps to market faster, at lower cost, and with enterprise grade security controls. Previously, an enterprise would need to obtain and host a new security infrastructure to prepare for seasonal demand spikes for its applications. Using this service, an enterprise has the flexibility to scale up its security, applications and mobile infrastructure in the public cloud based on current demand. For more information see the Intel EC2 Security page.

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