Microsoft's push for ARM-based PCs hurts Intel

Reports indicate that Microsoft is testing a Windows PC that uses an ARM architecture chip, which may be launched under the name of Surface CloudBook. Its target competitor is Chromebook, and it is aimed at the education field. It is expected to be equipped with a Snapdragon 835 processor. This is very unfavorable news for Intel, the leader in PC chips.

Intel's main competitor in the PC market was originally AMD, but after its tick-tock strategic competition, AMD's market share continued to shrink. Intel now holds 80% of the PC chip market share, while AMD has been in the red.

However, before Intel could enjoy the feast of PC chip market, ARM architecture processors came. After Google's Android system monopolized the mobile phone market, it launched Chrome OS system to enter the notebook market. So far, the notebooks using Chrome OS have developed well and are very popular in the US education market. In the first quarter of 2016, the number of Chromebooks shipped by various brands in the US market exceeded that of Apple Mac.

Chromebooks can use Intel processors or ARM architecture processors. However, considering that ARM architecture processors are much cheaper than Intel processors, most Chromebooks use ARM architecture processors.

In addition to Chromebooks, Apple is also rumored to be planning to introduce its own ARM architecture processor A series into MAC. The merger of the Mac OS department into the iOS department at the end of last year is an obvious sign. However, Apple's rumor is just a rumor after all, and Chromebooks are difficult to enter the mass consumer market and the enterprise market because they are not compatible with the existing desktop operating system Windows.

Microsoft's launch of Windows PCs with ARM architecture processors is a breakthrough for ARM architecture in the PC market. Last year, Microsoft demonstrated the use of Qualcomm Snapdragon 820 chips to run full-featured Windows 10 at the WinHEC 2016 conference. Now Microsoft is finally launching the Surface CloudBook with ARM architecture processors to support the full version of Windows system, which is of course the most important news for the ARM camp.

If ARM architecture processors can run the full version of Windows, the price of PCs using ARM architecture processors will drop significantly, and laptops can also get better battery life. Surface CloudBook will play an important demonstration role and attract many PC brands to launch Windows PCs using ARM architecture processors. Intel's performance will suffer a major blow.

Although Intel has currently focused its business on server chips and invested heavily in emerging fields such as autonomous driving and the Internet of Things, its PC chip business is still its main source of revenue. If its PC business suffers a major blow, its overall revenue will inevitably decline sharply, which will have many adverse effects on the transformation it is currently actively seeking.

Impact on the future. If the ARM camp completely conquers the PC market, Intel's server chip business will lose its moat in the PC market, and the server chip business will also be hit by the ARM camp. This is certainly something Intel does not want to see, but it is probably beyond its control.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.