Intel Conroe Desktop Chip to Launch July 27

JUL 12, 2006 03:04:20 PM

http://www.cio.com/blog_view.html?CID=22919

Intel will launch its next-generation "Conroe" chip for desktop PCs on 
July 27, marking the company’s second step to recover from slumping 
sales with new products.

Intel also plans to launch its dual-core Itanium chip for high-end 
servers, code-named "Montecito" on July 18, and has already begun 
shipping them to computer vendors.

The events mark the beginning of a busy summer for the company, of Santa 
Clara, Calif.

"We plan to introduce multiple chips, more than 10, over the next 30 to 
60 days," said company spokesman Bill Kircos. The chips will include a 
standard desktop version of Conroe—officially the Core 2 Duo—as well as 
an extreme edition for gamers and other combinations of features and prices.

The Conroe chip will be available to consumers almost immediately, since 
Intel has already begun shipping the processor to certain channels and 
manufacturers, Kircos said. Intel will reach full production within 30 days.

The timing is crucial for Intel because the company plans to sell Conroe 
in the looming back-to-school and holiday seasons, as well as for 
corporate upgrades planned by many IT departments for the end of the 
fourth quarter, he said.

Sales of Conroe will also mark the official launch of Intel’s VPro 
platform, the bundle of features for business desktops announced in April.

Intel has found strong profits in selling bundles of hardware and 
software in platforms like Centrino for mobile desktops and Viiv for 
home entertainment. VPro will extend the idea to business desktops.

The Core 2 Duo chips enable those platforms by delivering a collection 
of features that Intel calls "Star T’s."

"Those are leading technologies we’ve been rolling out in various chips 
already. But this new microarchitecture will include all of them; 64-bit 
computing, virtualization, active management, I/O and hyperthreading to 
come later," Kircos said.

Intel’s first step to recuperate from sluggish sales came last month, 
when it unveiled the Woodcrest chip for servers—officially the Xeon 
5100. The company also plans to launch its Merom chip for mobile 
notebooks in August. Conroe, Woodcrest and Merom are built with the 
company’s new Core microarchitecture, the successor to the Netburst 
design that produced the Pentium line.

Intel accelerated the launch schedule of these three chips in the wake 
of a disappointing earnings report in April, when the company said it 
missed estimates for the quarter and would miss forecasts for annual 
revenue in 2006.

Intel is the world’s biggest chip maker, but has been losing market 
share to Advanced Micro Devices (AMD). Intel hopes Conroe will help to 
arrest that slide, and early reports from PC vendors suggest that the 
new chip will make a difference.

"The high performance, raw processing power and low power consumption 
will deliver a lot of value for consumers," said Liem Nguyen, a 
spokesman for Dell.

"We’ve been working closely with Intel on testing and development, and 
we saw a 40 percent performance gain and almost the equivalent for 
improved power consumption," compared to the previous generation, he said.

Dell plans to sell the Conroe chip in its high-end XPS 700 gaming 
desktop first, with other products to come.

As it prepared to battle Intel in the marketplace, chip-making rival AMD 
insisted it would stick to its schedule for releasing new chips, and 
would not cut prices on current chips.

"We have been watching the competitive situation very closely, but it 
will not have an impact on our ability to deliver value to the market," 
said David Schwarzbach, division manager for the desktop group at AMD.

AMD launched its 4x4 platform for gamers in June, and plans to release 
its dual-core Athlon 64 X2 in the second half of 2006. In the longer 
term, the company will launch quad-core chips in 2007 and continue its 
support for multithreaded applications.

"The future is a multitasking and multithreaded world; we would even say 
a mega-tasking and mega-threaded world," Schwarzbach said.

Market watchers will soon have more data to make their choice between 
Intel and AMD chips. Intel is expected to lift an embargo on July 13, 
allowing PC vendors to release the results of their benchmarking studies 
between Conroe and AMD’s Athlon 64 FX-62.



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