As PC era wanes, Intel moves away from ‘Intel Inside’
A Silicon Valley pioneer, Intel is facing an identity crisis with the weight of tech shifting to cloud computing and the Internet of Things.
Intel was a Silicon Valley pioneer by powering the PC revolution. But now, with the weight of tech shifting to cloud computing and the Internet of Things, Intel’s facing an identity crisis.
That’s manifesting itself most directly in painful cuts — Intel said last week it would cut 12,000 jobs — but also in a shift away from its long-running “Intel Inside” marketing in order to connect with young people by emphasizing lifestyle areas it powers. After all, the desktop is no longer Intel’s core business — the data center, Internet of Things and memory businesses are now the company’s primary growth engines, which made up 40 percent of its revenue last year. The problem: people still associate Intel with being “inside” their desktops and laptops.
“‘Intel Inside’ lent the brand no real tangible presence in the marketplace or a direct relationship with the consumer. For millennials in particular, the brand looks irrelevant,” said Penny Baldwin, vp and general manager of Intel global brand management. “So we will stop focusing on where we are with ‘Intel Inside’ and instead focus on why we are an experiential exponent to draw a clear connection between our technology and consumer experience.”
Wearables and Internet of Things are logical outgrowths of the Intel brand as long as it still retains the concept that “Intel Inside” promoted: Electronics powered by Intel are superior. If Intel wants to distance itself entirely from the idea of “Intel Inside” and pivot to another message, however, it will take a long time and lots of work for the brand to re-educate the consumer, said Rebecca Brooks, co-founder of market research firm Alter Agents.
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