1. Kevin KahnKevin Kahn
Intel Senior FellowIntel Senior Fellow
Director Communications Technology LabDirector Communications Technology Lab
Intel CorporationIntel Corporation
December 10, 2008December 10, 2008
Innovating the Future of
Mobile Computing
2. Risk Factors
TodayToday’’s presentation contains forwards presentation contains forward--lookinglooking
statements. All statements made that are notstatements. All statements made that are not
historical facts are subject to a number of risks andhistorical facts are subject to a number of risks and
uncertainties, and actual results may differ materially.uncertainties, and actual results may differ materially.
Please refer to our most recent Earnings Release andPlease refer to our most recent Earnings Release and
our most recent Form 10our most recent Form 10--Q filing for more informationQ filing for more information
on the risk factors that could cause actual results toon the risk factors that could cause actual results to
differ.differ.
3. + Web Applications
Location Relevance
Wireless Sync
Uncompromised
Internet Experience
Nearby Devices Improve
the Experience
Gestures & Voice Interface
TomorrowTomorrow
Mobility Tomorrow:Mobility Tomorrow: What People WantWhat People Want
Local Applications
Location-aware
Wired Sync
Limited View of Internet
Limited by Form Factor
Touch Interface
Today
3
4. Redefining MobilityRedefining Mobility
MoreMore PowerfulPowerful Mobile DevicesMobile Devices
MoreMore AwareAware Mobile DevicesMobile Devices
MoreMore PersonalPersonal Mobile DevicesMobile Devices
4
5. A Research Vision For Our FutureA Research Vision For Our Future……
Carry Small, Live Large
5
6. Carry Small:Carry Small:
MoreMore Performance, Smaller PlatformPerformance, Smaller Platform
A Vision of tomorrow’s mobile device:
• Carry essential computational resources
• More compute & graphics power
• Anytime, anywhere connectivity
• Sensors to understand world around you
• Platform-wide power efficiency
6
7. Live Large:Live Large:
BetterBetter ExperienceExperience
That knows No Bounds…
• Delivers amplified, more robust mobile experience
• Seamless access to new Devices, Networks and Services
• Understands & Anticipates what you want to do
7
10. Intel® Atom™ Processor Enables New Devices
MIDMID
CECE
EmbeddedEmbedded
NetbookNetbook andand
NettopNettop
Intel® Atom™ Processor Enables New Devices
10
11. Further Integration Will Continue to Help
Today Future
Smaller Silicon Footprint
Less Power Consumption
Less Complexity
Fewer Connectors
Lower Cost
Required to deliver the Carry Small Vision
CPU
IO
Radio
Card
SoC
CPU
11
12. The Future of CommunicationsThe Future of Communications
Two primary paths forwardTwo primary paths forward
Wireless
Optical
WWAN
WLAN
WPAN
WPAN
WLAN
WWAN
12
13. The Need for Flexible Radio Technologies
3G WiMAX
802.16
Wi-Fi
802.11n
UWB
&
60Ghz
0
1000
2000
3000
4000
5000
Peak data rate (Mbps)
1xEVDO1xEVDO
HSPAHSPA
WiMAXI(10MHz)WiMAXI(10MHz)
WiMAXI(20MHz)WiMAXI(20MHz)
WiMAXII(20MHz)WiMAXII(20MHz)
802.11b802.11b
802.11a/g802.11a/g
DraftDraft--802.11n802.11n
802.11n802.11n
UWBUWB
PrePre--Gen2UWBGen2UWB
Gen2UWBGen2UWB
60GHz60GHz
WMAN WLAN WPAN
FutureFuture
13
14. Technologies for Multi-Radio Integration
Scalable
Communication
Core
Tunable Front End
Modules / Antenna
Digitally
Enhanced Radio
Radio Platform
System on Chip
Interference Mitigation
Energy Efficient
Communications
Seamless
connectivity
Standards
Keys: Size, Efficiency, Flexibility
14
15. Intel’s Silicon Photonics Research
Silicon
Modulators
1GHz ( Feb ‘04)
10 Gb/s (Apr ‘05)
40 Gb/s (July ’07)
8-channel integrated
200Gb/s (May ’08)40 Gb/s PIN
Photodetectors
(Aug. ’07)
Avalanche Photodetectors
with 340 GHz Gain*BW (Today)
Innovating with low-cost silicon to create new optical devices
Hybrid Silicon
Laser (Sept. ‘06)
1st Continuous Wave
Silicon Raman Laser
(Feb ‘05)
15
17. •• User and usage understandingUser and usage understanding
•• Basic researchBasic research
•• Engineering innovationEngineering innovation
•• InvestmentInvestment
•• Industry cooperation andIndustry cooperation and
standardsstandards
Making all of this Happen
17
18. Risk Factors
This presentation contains forwardThis presentation contains forward--looking statements that involve a number of risks and uncertaintlooking statements that involve a number of risks and uncertainties. These statements do not reflect the potential impacties. These statements do not reflect the potential impact
of any mergers, acquisitions, divestitures, investments or otherof any mergers, acquisitions, divestitures, investments or other similar transactions that may be completed in the future. The isimilar transactions that may be completed in the future. The information presented isnformation presented is
accurate only as of todayaccurate only as of today’’s date and will not be updated. In addition to any factors discus date and will not be updated. In addition to any factors discussed in the presentation, the important factors that could causessed in the presentation, the important factors that could cause actualactual
results to differ materially include the following: Current unceresults to differ materially include the following: Current uncertainty in global economic conditions pose a risk to the overallrtainty in global economic conditions pose a risk to the overall economy as consumers andeconomy as consumers and
businesses may defer purchases in response to tighter credit andbusinesses may defer purchases in response to tighter credit and negative financial news, which could negatively affect productnegative financial news, which could negatively affect product demand and other relateddemand and other related
matters. Consequently, demand could be different from Intel's ematters. Consequently, demand could be different from Intel's expectations due to factors including changes in business and ecoxpectations due to factors including changes in business and economic conditions, includingnomic conditions, including
conditions in the credit market that could affect consumer conficonditions in the credit market that could affect consumer confidence; customer acceptance of Inteldence; customer acceptance of Intel’’s and competitorss and competitors’’ products; changes in customer orderproducts; changes in customer order
patterns including order cancellations; and changes in the levelpatterns including order cancellations; and changes in the level of inventory at customers. Intelof inventory at customers. Intel’’s results could be affected by the timing of closing ofs results could be affected by the timing of closing of
acquisitions and divestitures. Intel operates in intensely compeacquisitions and divestitures. Intel operates in intensely competitive industries that are characterized by a high percentage oftitive industries that are characterized by a high percentage of costs that are fixed or difficultcosts that are fixed or difficult
to reduce in the short term and product demand that is highly vato reduce in the short term and product demand that is highly variable and difficult to forecast. Revenue and the gross margin priable and difficult to forecast. Revenue and the gross margin percentage are affected by theercentage are affected by the
timing of new Intel product introductions and the demand for andtiming of new Intel product introductions and the demand for and market acceptance of Intel's products; actions taken by Intel'smarket acceptance of Intel's products; actions taken by Intel's competitors, including productcompetitors, including product
offerings and introductions, marketing programs and pricing presofferings and introductions, marketing programs and pricing pressures and Intelsures and Intel’’s response to such actions; Intels response to such actions; Intel’’s ability to respond quickly to technologicals ability to respond quickly to technological
developments and to incorporate new features into its products;developments and to incorporate new features into its products; and the availability of sufficient supply of components from suand the availability of sufficient supply of components from suppliers to meet demand. Theppliers to meet demand. The
gross margin percentage could vary significantly from expectatiogross margin percentage could vary significantly from expectations based on changes in revenue levels; product mix and pricing;ns based on changes in revenue levels; product mix and pricing; capacity utilization;capacity utilization;
variations in inventory valuation, including variations relatedvariations in inventory valuation, including variations related to the timing of qualifying products for sale; excess or obsoletto the timing of qualifying products for sale; excess or obsolete inventory; manufacturing yields;e inventory; manufacturing yields;
changes in unit costs; impairments of longchanges in unit costs; impairments of long--lived assets, including manufacturing, assembly/test and intangilived assets, including manufacturing, assembly/test and intangible assets; and the timing and execution of theble assets; and the timing and execution of the
manufacturing ramp and associated costs, including startmanufacturing ramp and associated costs, including start--up costs. Expenses, particularly certain marketing and compensatup costs. Expenses, particularly certain marketing and compensation expenses, vary depending onion expenses, vary depending on
the level of demand for Intel's products, the level of revenue athe level of demand for Intel's products, the level of revenue and profits, and impairments of longnd profits, and impairments of long--lived assets. Intel is in the midst of a structure andlived assets. Intel is in the midst of a structure and
efficiency program that is resulting in several actions that couefficiency program that is resulting in several actions that could have an impact on expected expense levels and gross margin. Tld have an impact on expected expense levels and gross margin. The tax rate expectation ishe tax rate expectation is
based on current tax law and current expected income. The tax rabased on current tax law and current expected income. The tax rate may be affected by the jurisdictions in which profits are dette may be affected by the jurisdictions in which profits are determined to be earned andermined to be earned and
taxed; changes in the estimates of credits, benefits and deductitaxed; changes in the estimates of credits, benefits and deductions; the resolution of issues arising from tax audits with varioons; the resolution of issues arising from tax audits with various tax authorities, includingus tax authorities, including
payment of interest and penalties; and the ability to realize depayment of interest and penalties; and the ability to realize deferred tax assets. The recent financial crisis affecting the banferred tax assets. The recent financial crisis affecting the banking system and financial marketsking system and financial markets
and the going concern threats to investment banks and other finaand the going concern threats to investment banks and other financial institutions have resulted in a tightening in the credit mncial institutions have resulted in a tightening in the credit markets, a low level of liquidity inarkets, a low level of liquidity in
many financial markets, and extreme volatility in fixed income,many financial markets, and extreme volatility in fixed income, credit and equity markets. There could be a number of followcredit and equity markets. There could be a number of follow--on effects from the credit crisison effects from the credit crisis
on Intelon Intel’’s business, including insolvency of key suppliers resulting in ps business, including insolvency of key suppliers resulting in product delays; inability of customers to obtain credit to financroduct delays; inability of customers to obtain credit to finance purchases of oure purchases of our
products and/or customer insolvencies; counterparty failures negproducts and/or customer insolvencies; counterparty failures negatively impacting our treasury operations; increased expense oratively impacting our treasury operations; increased expense or inability to obtain shortinability to obtain short--
term financing of Intelterm financing of Intel’’s operations from the issuance of commercial paper; and increases operations from the issuance of commercial paper; and increased impairments from the inability ofd impairments from the inability of investeeinvestee companies to obtaincompanies to obtain
financing. Gains or losses from equity securities and interest afinancing. Gains or losses from equity securities and interest and other could also vary from expectations depending on gains ornd other could also vary from expectations depending on gains or losses realized on the sale orlosses realized on the sale or
exchange of securities; gains or losses from equity method invesexchange of securities; gains or losses from equity method investments; impairment charges related to debt securities as well astments; impairment charges related to debt securities as well as equity and otherequity and other
investments; interest rates; cash balances; and changes in fairinvestments; interest rates; cash balances; and changes in fair value of derivative instruments. The current volatility in the fvalue of derivative instruments. The current volatility in the financial markets and overallinancial markets and overall
economic uncertainty increases the risk that the actual amountseconomic uncertainty increases the risk that the actual amounts realized in the future on our debt and equity investmentsrealized in the future on our debt and equity investments will differ significantly from thewill differ significantly from the
fair values currently assigned to them. The majority of our nonfair values currently assigned to them. The majority of our non--marketable equity investment portfolio balance is concentrated imarketable equity investment portfolio balance is concentrated in companies in the flashn companies in the flash
memory market segment, and declines in this market segment or chmemory market segment, and declines in this market segment or changes in managementanges in management’’s plans with respect to our investments in this market segments plans with respect to our investments in this market segment
could result in significant impairment charges, impacting gainscould result in significant impairment charges, impacting gains /losses on equity investments and interest and other. Intel's re/losses on equity investments and interest and other. Intel's results could be impacted bysults could be impacted by
adverse economic, social, political and physical/infrastructureadverse economic, social, political and physical/infrastructure conditions in the countries in which Intel, its customers or itsconditions in the countries in which Intel, its customers or its suppliers operate, including militarysuppliers operate, including military
conflict and other security risks, natural disasters, infrastrucconflict and other security risks, natural disasters, infrastructure disruptions, health concerns and fluctuations in currency eture disruptions, health concerns and fluctuations in currency exchange rates. Intel's results couldxchange rates. Intel's results could
be affected by adverse effects associated with product defects abe affected by adverse effects associated with product defects and errata (deviations from published specifications), and by litnd errata (deviations from published specifications), and by litigation or regulatory mattersigation or regulatory matters
involving intellectual property, stockholder, consumer, antitrusinvolving intellectual property, stockholder, consumer, antitrust and other issues, such as the litigation and regulatory mattert and other issues, such as the litigation and regulatory matters described in Intel's SEC reports.s described in Intel's SEC reports.
