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Soleron said:

That's one theory. Intel are also forced to have a 60% gross margin by their shareholders, because they include big pension funds and other risk-averse groups. This seriously limits their control over pricing. AMD is able to survive by taking 40% or less.

Also Intel is competing with themselves somewhat: they need to persuade people that buying a new PC is indeed better. Their recent focus has been more on battery life than high-end performance for this reason.

Hopefully Apple/Qualcomm/Samsung using ARM will emerge as a viable alternative for desktop chips.


I don't think that ARM is going to enter the X86 market any time soon, and I don't see x86 in the desktop going anywhere any time soon ether, too much legacy code. Intel are already starting (the first 2 generations of Atom were a joke but things are starting to look better) bringing the fight to ARM, and they have a hell of a lot of R&D money to throw around and Win8's tablet focus as a catalyst. 



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