
Santa Clara, CA
Intel started making memory chips, then pivoted to microprocessors when Japanese competition crushed the DRAM market. Its 8088 processor became the brain of the IBM PC.
Noyce and Moore left Fairchild with a plan to build memory chips. Andy Grove joined as director of engineering and later shaped Intel's disciplined culture.
Intel scaled through manufacturing excellence and aggressive capital investment. The x86 architecture became the standard for personal computers.
Intel missed the mobile and AI chip transitions. It dominated PCs but failed to win smartphones or build competitive GPUs.
“Intel's 8088 microprocessor powered the IBM PC.”
“Intel's manufacturing scale was its moat for decades.”
“Intel pivoted from memory to microprocessors.”
“Intel stayed ahead of the curve until mobile computing arrived.”
Informal: They switched from memory chips to CPUs when memory got too cheap.
Professional: The company pivoted from dynamic random-access memory to microprocessors in response to intensifying Asian competition.
You are an Intel account manager in 1981. Write to IBM confirming the 8088 supply agreement and outlining your ramp-up plan.
You are Gordon Moore in 1984. Convince the board to double down on microprocessors while DRAM margins collapse.
“Memory is becoming a commodity. Microprocessors let us own the architecture and capture value as computing spreads into every device.”
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