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[IP] Intel's heft slows its wireless strategy



To: Dewayne-Net Technology List <dewayne-net@xxxxxxxxxxxxx>

[Note: This is the Red Herring's take on the Intel processor story that I posted earlier today. DLH]

April 12, 2004

Intel's heft slows its wireless strategy
Category:  Computing
<http://blog.redherring.com/MT/archives/main/000162.html>

Intel is reaching for market share in the mobile device chip market. It recently announced availability of its "Bulverde" chipset, which delivers wireless video streaming, 3-D rendering, and security that is closely identified with, but not clearly labeled as, digital rights management (DRM). The release is a shot across the bow of Texas Instruments, the largest U.S. manufacturer of chips for mobile handsets. But it's a shot that falls short: the Intel chips lock device manufacturers into an Intel-flavored design in a market where "Intel inside" branding carries no weight.

Bulverde is shipping with the scintillating product name "PXA27x" and delivers multi-network support. It is a significant move on Intel's part, because this chipset will be able to communicate over 3G, wi-max, and other wireless networks. It includes Intel's trusted wireless platform technology, which supports a variety of cryptographic algorithms but requires developers to write to Intel's specification. The press release mentions that, among others, Sony Music Entertainment has developed applications based on the Intel security technology; hence our suggestion that this is a crypto DRM strategy (no pun intended).

The Intel chips require a $17 dollar multimedia accelerator to deliver high-end video playback in a handheld device. The total cost of the chipset with accelerator is $49 in quantities of 10,000.

By contrast, TI's $33.47 OMAP 2 processors (price based on purchase of 10,000 chips) deliver digital television, music, and digital camera support without any hardware-based security. Handset manufacturers can implement DRM in software without proprietary security when doing so, where Intel's chip ties security to Intel's wireless trusted computing technology.

The TI chips are more flexible and inexpensive, allowing handset makers to implement a variety of security features from different software developers instead of relying on Intel to win support for its security features from a large number of independent software vendors.

Where TI does focus on security ­ Intel provides these features, too ­ is in the arena of what can load into memory, where hostile code can damage the device or break installed security features.

Intel needs to make silicon for the mobile market that is not tied by hardware designs so closely to its desktop and server technologies. Software-based links to the rest of the Intel universe are a positive contribution, but hardware-based connections will only make competing software-only solutions more attractive.

Posted by Red Herring at April 12, 2004 03:48 PM
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