Intel Corporation · NASDAQ:INTC
Intel — Investor Day (May 2010)
37 slides from Intel's investor day presentation, May 12, 2010
Slide 1: Investor Meeting 2010
INVESTOR MEETING 2010 Exhibit 99.1
Slide 2: Company Strategy and Growth Potential
Company Strategy and Growth Potential Paul S. Otellini President and Chief Executive Officer
Slide 3: Four Drivers of Shareholder Value
INVESTOR MEETING 2010 Four Drivers of Shareholder Value • Intel has been transformed into a more efficient and productive company • Investments in silicon process technology and software increasingly differentiate us in the market • We will continue to maximize profits in the fast growing PC and ser
Slide 4: Since 2006, the company has been transformed
INVESTOR MEETING 2010 “We will re-structure, re-size, re-purpose Intel for the future.” Investor Meeting 2006 Since 2006, the company has been transformed …
Slide 5: Efficiencies Driven Throughout the Business
INVESTOR MEETING 2010 Efficiencies Driven Throughout the Business Source: Intel Billions $6.6B in Total Savings
Slide 6: Productivity Has Improved
INVESTOR MEETING 2010 Productivity Has Improved *Based on Consensus 4/15/10 Thousands $K Revenue/ Employee $K Pre-Tax Profit/ Employee Source: Intel
Slide 7: Leadership Products in Data Center and PC Segments
INVESTOR MEETING 2010 Leadership Products in Data Center and PC Segments Small-Medium Business Workstations Cloud Service Providers Storage Enterprise Data Center High Performance Computing Networking Intel’s Largest Data Center Refresh All New 2010 Intel® Core™ Processor Family Other names and bran
Slide 8: Gross Margins Have Increased
INVESTOR MEETING 2010 Gross Margins Have Increased Forecast Source: Intel
Slide 9: Extending Silicon Process Technology Leadership
INVESTOR MEETING 2010 Extending Silicon Process Technology Leadership Leading in Innovation and Production 2005 45nm 2003 2009 2007 Strained Silicon: 1-3 yrs ahead of comp High-k / Metal Gate: 3+ yrs ahead of comp 25% Increase in Performance 10X Lower Leakage Power 10X Lower Leakage Power Source: In
Slide 10: High-k Metal Gate Higher Performance
INVESTOR MEETING 2010 Sources: Intel (2007 IEDM, p 247), TSMC (2007 IEDM, p 243), IBM/Samsung(2007 VLSI, p 16) Higher Performance NMOS PMOS NMOS PMOS NMOS PMOS High-k Metal Gate TSMC Non-High-k Metal Gate IBM Non-High-k Metal Gate
Slide 11: Production Ramp Reaching Volume in Half the Time
INVESTOR MEETING 2010 Week of Production Ramp Millions of Die 1 5 10 15 20 25 30 1.1 Billion Transistors 90nm 65nm 45nm 32nm Reaching the same volume in half the time Source: Intel
Slide 12: Accelerating the Spread of Computing
INVESTOR MEETING 2010 Accelerating the Spread of Computing 3.3 BILLION Processor Cores Shipped Through Q1’10 Source: Intel 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Cumulative CPU Cores Shippe
Slide 13: Developing Low Cost Solutions to Bring Computing to New Segments
INVESTOR MEETING 2010 Developing Low Cost Solutions to Bring Computing to New Segments 76% Reduction in cost from 2006-2013 Forecast Lowest Cost IA Kit Source: Intel
Slide 14: Expanding from a PC Chip Company to a Computing Solutions Provider
INVESTOR MEETING 2010 Expanding Our Capabilities from a PC Chip Company to a Computing Solutions Provider Intel Circa 2000 Intel Today Services Software Platforms Silicon *Excluding IT and Manufacturing Software Professionals are 22% of Intel* Other names and brands may be claimed as the property of
Slide 15: The Transformation Has Positioned Intel for Profitable Growth
INVESTOR MEETING 2010 The Transformation Has Positioned Intel for Profitable Growth • Maximize profits in the fast growing PC segments • Extend our lead in servers and datacenters • Enable the next generation of “smart” computing - across all segments • Deliver s/w and services around IA that create
Slide 16: Internet Users Growing Worldwide
INVESTOR MEETING 2010 Internet Users Growing WW Global Internet Stats in 2009E 1.8B Users, 13+ Y/Y; 18.8T Minutes Spent, +21% Y/Y USA 238MM Users +4% Y/Y Brazil 67MM Users +14% Y/Y Russia 39MM Users +13% Y/Y China 384MM Users +29% Y/Y India 130MM Users +23% Y/Y Source: Morgan Stanley
Slide 17: Consumer Internet Traffic Forecast
INVESTOR MEETING 2010 Source: Cisco PB per Month Consumer Internet Traffic Video Internet Voice Internet Gaming File Sharing Web/Email Forecast
Slide 18: Computing is Growing in Every Segment
INVESTOR MEETING 2010 Units M Computing is Growing in Every Segment Total Available Market (forecast) Source: Gartner Gartner Forecast: PCs, Worldwide and North America, 1Q10 Update 16 April 2010 | ID:G00175947: ”Desktop” references Deskbased PC forecast, ”Laptop” references Mobile PC forecast Gartn
Slide 19: Computing is Growing in Every Segment
INVESTOR MEETING 2010 Units M Computing is Growing in Every Segment Total Available Market (forecast) Source: Gartner Gartner Forecast: PCs, Worldwide and North America, 1Q10 Update 16 April 2010 | ID:G00175947: ”Desktop” references Deskbased PC forecast, ”Laptop” references Mobile PC forecast Gartn
Slide 20: Computing is Growing in Every Segment
INVESTOR MEETING 2010 Units M Computing is Growing in Every Segment Total Available Market (forecast) Source: Gartner (2014 Netbook forecast based on 2010-2013 CAGR) Gartner Forecast: PCs, Worldwide and North America, 1Q10 Update 16 April 2010 | ID:G00175947: ”Desktop” references Deskbased PC foreca
Slide 21: Computing is Growing in Every Segment
INVESTOR MEETING 2010 Units M Computing is Growing in Every Segment Total Available Market (forecast) Source: Gartner (PC), InStat (Tablet) (2014 Netbook forecast based on 2010-2013 CAGR) Gartner Forecast: PCs, Worldwide and North America, 1Q10 Update 16 April 2010 | ID:G00175947: ”Desktop” referenc
Slide 22: Computing is Growing in Every Segment
INVESTOR MEETING 2010 Units M Computing is Growing in Every Segment Total Available Market (forecast) Source: Gartner (PC), InStat (Tablet) (2014 Netbook forecast based on 2010-2013 CAGR) Gartner Forecast: PCs, Worldwide and North America, 1Q10 Update 16 April 2010 | ID:G00175947: ”Desktop” referenc
Slide 23: Maximize Profits in the Fast Growing PC Segments
INVESTOR MEETING 2010 Maximize Profits in the Fast Growing PC Segments Maintain Leadership Expand User Base Tick Tock 32nm Tick 22nm Now Intel ® Wireless Display Intel ® HD Graphics Intel ® Turbo Boost Technology WiMAX… Future Security, content protection, … 2009 Intel Mobile Volume in Mexico Source
Slide 24: Intel Leads in Integrated Video Across Platforms
INVESTOR MEETING 2010 Intel ® Core processor w/ Intel ® HD Graphics Desktops Intel ® Core processor w/ Intel ® HD Graphics Smartphones Intel ® Atom Z600 Intel ® Atom CE 4100 Intel Leads in Integrated Video Across Platforms Best-in-Class Video Performance “The Perfect Home Theater PC” Best-in-Class A
Slide 25: Extend Our Lead in Servers and Data Centers
INVESTOR MEETING 2010 Extend Our Lead in Servers and Data Centers Other names and brands may be claimed as the property of others Mercury* x86 Server only CPU Forecast Forecast Strategy: • Extend “Nehalem effect” across all server segments • Pursue share opportunities in MP, RISC, HPC segments • Ext
Slide 26: User-Generated Content
INVESTOR MEETING 2010 User-Generated Content Graphical Typewriter/ …
Slide 27: Smart TVs, Smartphones, In-Vehicle Infotainment and more
INVESTOR MEETING 2010 … Smart TVs Smartphones In-Vehicle Infotainment Digital Signage Personal Devices Home Energy Management PCs
Slide 28: The Transformation to Smart: Example Television
INVESTOR MEETING 2010 The Transformation to “Smart” Example: Television Source: Intel Basic TVs: Smart TVs: Seamless Integration of TV & Web Content Interactive & 3D User Interface Open Platform to Drive Innovation on Apps and Services ~ 1M Total Lines of Code ~ 1k DMIPS Required ~ 10M Total Lines o
Slide 29: Intel: Delivering a Smart TV Solution
INVESTOR MEETING 2010 Intel: Delivering a Smart TV Solution Services Software Platform Silicon Other Platforms Announced Soon! CE3100 CE4100 Supports Multiple Platforms Intel Contributing 5.5M Lines of Code Performance ~3K DMIPS Architecture Best AV Pipeline Enables Real-time Audio/Video Blended wit
Slide 30: Desktops Laptops Embedded Smartphones Netbooks Personal Devices Smart TVs
INVESTOR MEETING 2010 Desktops Laptops Embedded Smartphones Netbooks Personal Devices Smart TVs
Slide 31: Intel is Positioned to Enhance the Computing Experience
INVESTOR MEETING 2010 Intel is Positioned to Enhance the Computing Experience… …Across the Continuum Services Software Platforms Silicon Security Manageability Content Protection Applications Comms Video User Interface I/O New Opportunities For Software And Services Revenue
Slide 32: Expanding Business Opportunities
INVESTOR MEETING 2010 + Within 5 Years Server, Network, Storage Software and Services + Expanding Business Opportunities Intel Forecast
Slide 33: The Net Result
INVESTOR MEETING 2010 The Net Result Intel forecasting low double-digit: 1) 2) (~2x EPS CAGR vs 2003* to 2008 period) Over the next few years** Intel Forecast * 2003 adjusted to include stock based compensation expense, ** Figures specified are preliminary based on current expectations, and are subj
Slide 34: Summary
INVESTOR MEETING 2010 Summary • Intel is transforming into a computing company for the 21st century • Lean, efficient, highly profitable • Focused on serving fast growth segments • Increasingly differentiated and unique from any other company • Well positioned to deliver exceptional shareholder retu
Slide 35: Reconciliations of GAAP to Non-GAAP Results
INVESTOR MEETING 2010 INTEL CORPORATION RECONCILIATIONS OF GAAP TO NON-GAAP RESULTS Appendix A: Earnings per Share • In addition to disclosing financial results calculated in accordance with United States (U.S.) generally accepted accounting principles (GAAP), this presentation contains a non-GAAP f
Slide 36: Risk Factors
INVESTOR MEETING 2010 Risk Factors • The above statements and any others in this document that refer to plans and expectations for the second quarter, the year and the future are forward-looking statements that involve a number of risks and uncertainties. Many factors could affect Intel’s actual res
Slide 37: Slide 37