Intel reaffirms commitment to Moorestown and WiMAX
Monica Chen, Taipei; Joseph Tsai, DIGITIMES [Tuesday 17 February 2009]
While some of Intel's Taiwan partners in Taiwan have quietly raised concerns about Intel's future commitment to Moorestown and WiMAX, Intel has reiterated its long-term support for both its second-generation mobile Internet device (MID) platform platform and the next-generation wireless communication technology.
Some of Intel's Taiwan partners believe Intel may re-evaluate its commitment to certain technologies and platforms at the end of 2009, including WiMAX and Moorestown, especially if MIDs do not sell well this year and if the global WiMAX market does not develop as quickly as previously expected.
The MID market has faced increasingly strong competition from the netbook PC segment, while LTE (long-term evolution) seems to have gained the upper hand over WiMAX as a next-generation telecommunications platform.
Although Intel has invested a great deal in the development and promotion of WiMAX, the sources noted that the performance of WiMAX development has not been very effective so far, and Intel has already rationalized some workforce in its WiMAX business group. If the situation remains the same at the end of this year, Intel may re-evaluate its development strategy, with the worst case scenario being the company having to consider the option of stepping out of the business, the sources added.
However, Intel responded by commenting that it remains committed to WiMAX deployment and MID development.
The company explained that it is more than satisfied with the pace of progress for WiMAX networks and services across the globe, while adding it takes a long term view for WiMAX growth, and it has no plans to pull back from its commitment to WiMAX and the industry.
As for MIDs, Intel believes the Moorestown platform is well positioned to meet consumers' demand for a richer, more interactive Internet experience with their handheld devices. Intel added that support from the industry is becoming stronger than ever.