Intel to cut back on its Intel Inside program

[NumLock21]

 

For many OEMs, using the Intel Inside program is a way to help them market their products and drive PC sales. Now Intel has plans to cut the amount of funds for this program by as much as 40 to 60%. Started back in 1991, what the Intel Inside program does is, give OEMs benefits and rewards for computers they sold which bares the Intel Inside logo. Those rewards can range from,

Quote

compensation in marketing efforts, price matching rebate funds and funding advertising activities, as well as trade show support. "The way the money used to flow, Intel would offer pure rebates back to us through direct payments or price reductions ... we would see reduced compensation in regards to marketing events. Bigger partners would get a big chunk of compensation for bigger consumers, and many big gaming guys are heavily dependent on 'Intel Inside' dollars to promote the brand,"

"Intel Inside" was tied to volume, so if a large systems builder sold 10,000 PCs a year, it would get a certain percentage of funding from Intel tied to specific ways of using it, said the partner. Channel partners would have to follow strict guidelines to qualify for funds for ads.

with the program cutting down, OEMs will either have to reduce their marketing or pass the cost on to the consumers, by increase the price of their PCs. In other words, no more of those $300 systems you see from OEMs, when it's almost impossible to configure a DIY machine with the exact same specs including Windows.

 

http://www.crn.com/news/components-peripherals/300096616/sources-intel-planning-steep-cuts-to-landmark-intel-inside-program-that-will-ripple-across-pc-industry.htm

[patrick3027]

Surprised they are doing this now, when AMD finally got their shit together 

[NumLock21]

5 minutes ago, patrick3027 said:

Surprises they are doing this now, when AMD finally got their shit together 

Can't really have Intel Inside when they are also using AMD gpus.

 

[TVwazhere]

I just read "Intel to cut back on intel"

 

...o-oh

[ashypanda]

time for AMD to step up, and offer discounts for complete AMD systems, intel's market share will take a ginormous hit.

[79wjd]

12 minutes ago, ashypanda said:

intel's market share will take a ginormous hit.

Doubtful.

[thorhammerz]

18 minutes ago, ashypanda said:

Intel's market share will take a ginormous hit.

Highly unlikely, when the average consumer already equates 'CPU' with 'Intel' (few if even any OEMs have sold high volume product lines for AMD).

 

Couple that with an increasing portion of their revenue coming from server/enterprise/AI, and the need to aggressively spend a lot of advertising dollars for the consumer PC (OEM) market quickly loses its necessity and ROI.

[Hellion]

How is this a negative?

 

It puts AMD on a more even playing field so that OEM's don't benefit from pushing Intel products.

 

Tired of seeing brain dead consumers that do no research falling back on marketing to form an opinion. 

[Matu20]

Never saw the stickers as a feature, always tore them off.

[dizmo]

Interesting, didn't know they did that. Though it makes sense. It also makes sense to me that they're greatly reducing the expenditure, since they're ready seen as "the cpu", much like people see Samsung and Android as the same thing. Plus they've gained a significant portion of the market. The need to keep forking out cash to promote their name is rather unnecessary now. 

As for price increases, I don't think it's that big if an issue. Low cost PC's will likely die out as most people can do what they'd use those for on their phones. 

 

1 hour ago, NumLock21 said:

Can't really have Intel Inside when they are also using AMD gpus.

 

You mean CPUs? Even if it has an Intel CPU and AMD GPU, it'll still say Intel Inside. They're not competing in the GPU space

1 hour ago, patrick3027 said:

Surprises they are doing this now, when AMD finally got their shit together 

I'm not. AMD has improved greatly but still has a long way to go. It'll be am exciting few years for sure. 

18 minutes ago, Matu20 said:

Never saw the stickers as a feature, always tore them off.

Haha, I don't think marketing is ever considered a feature

[PocketNerd]

29 minutes ago, dizmo said:

You mean CPUs? Even if it has an Intel CPU and AMD GPU, it'll still say Intel Inside. They're not competing in the GPU space

Intel HD and the recent announcement that they're making discrete gpus would beg to differ.

[dizmo]

32 minutes ago, PocketNerd said:

Intel HD and the recent announcement that they're making discrete gpus would beg to differ.

Irrelevant, as they're not currently offered, plus those GPUs are likely to be in the commercial and deep learning space, not the gaming market, certainly not in the lower end retail space where integrated graphics suffice.

[Dabombinable]

I'm going to keep the Pentium III sticker on my Packard Bell then.

[NumLock21]

2 hours ago, dizmo said:

You mean CPUs? Even if it has an Intel CPU and AMD GPU, it'll still say Intel Inside. They're not competing in the GPU space
 

When their igpus is by AMD.

[dizmo]

47 minutes ago, NumLock21 said:

When their igpus is by AMD.

That doesn't negate the fact that it's an Intel chip. That's like saying they can't market some Audi's as such because they have Lamborghini derived engines.

[ravenshrike]

6 minutes ago, dizmo said:

That doesn't negate the fact that it's an Intel chip. That's like saying they can't market some Audi's as such because they have Lamborghini derived engines.

Except they're very unlikely to create a gaming oriented driver stack for those GPUs.

[dizmo]

1 minute ago, ravenshrike said:

Except they're very unlikely to create a gaming oriented driver stack for those GPUs.

....what? I don't think you've got the context right.

[PocketNerd]

2 hours ago, dizmo said:

Irrelevant, as they're not currently offered, plus those GPUs are likely to be in the commercial and deep learning space, not the gaming market, certainly not in the lower end retail space where integrated graphics suffice.

That's still competing with NVidia and/or AMD, regardless of it being for Gaming or Commercial/Deep-learning. So no, not irrelevant.

Also, Intel UHD (rather than HD, as they appear to have changed the name) in Coffee Lake begs to differ on the "not currently offered" point.

[dizmo]

9 minutes ago, PocketNerd said:

That's still competing with NVidia and/or AMD, regardless of it being for Gaming or Commercial/Deep-learning. So no, not irrelevant.

Also, Intel UHD (rather than HD, as they appear to have changed the name) in Coffee Lake begs to differ on the "not currently offered" point.

Haha, yes, yes it is, because those won't be in systems that bear the Intel Inside logo. That's more of a consumer marketing campaign than anything. Thus, unaffected by the change. I don't see how you don't understand that.

Coffee Lake contains an onboard AMD GPU?

[NumLock21]

48 minutes ago, dizmo said:

That doesn't negate the fact that it's an Intel chip. That's like saying they can't market some Audi's as such because they have Lamborghini derived engines.

Excluding discrete gpus, Intel cpus also contains a Intel iGPU. Can't really slap a Intel Inside sticker with a system that running on a Intel cpu that has a AMD iGPU.

[Rune]

Cool. Maybe now I can actually custom build people $400 machines that are competitive with prebuilts at work.

[kiska3]

So maybe we will see "AMD Inside" from AMD copying the same marketing concepts

/s

[Princess Luna]

8 minutes ago, kiska3 said:

So maybe we will see "AMD Inside" from AMD copying the same marketing concepts

/s

I'd stick in my PC: AMD Inn

 

Does this means if you send Intel a letter asking for a sticker for your processor they won't mail you back any more? Now that is what I call getting rough at business

[ARikozuM]

10 minutes ago, Princess Cadence said:

I'd stick in my PC: AMD Inn

There's a hot joke in here, but I can't find it. 

Spoiler

/s

 

[PocketNerd]

2 hours ago, dizmo said:

Coffee Lake contains an onboard AMD GPU?

They contain onboard intel GPUs, and seeing as AMD is in the business of onboard GPUs, puts them in direct competition.

I don't see why you fail to understand this?