Intel to train partners on new branding strategy

Following its decision to change the nomenclature of its chips, Intel plans to train partners and players in the retail channel regarding how the new branding strategy will work. However, it might not drop the Gigahertz convention entirely. Rather, it is simply adding a model name to other specifications as part of a new approach to customer awareness. Front Side Bus (FSB) speed, cache size and core name will play an integral part in the model names. 

It has already started working with OEM customers to help them understand how this move will best work with their products. Further it will be imparting training for the retail channel to make them understand the change. 

Changing the nomenclature might not come easy to the chip king, but this will surely be an easier purchase standard for end-users. So PC will now be recognized as an Intel 7032, rather than an Intel P4 2.1GHz
Centrino.

To represent its variety of bus speeds, cache sizes, and different architectures, Intel wants this system to help consumers further differentiate those various features on the processors. Intel also feels that this will encourage the consumer to purchase based on feature set, not on a simple number. The higher the number, the higher the feature set. According to sources, this renaming will take effect with rollout of the company's newer products. 

However, this new trend could mean a lot of toil for PC vendors worldwide. Since the advent of PCs, clock speed is equivalent to the price­faster the speed higher the price. This equation is set to change if Intel will change its model names, as the last 10 years of microprocessor marketing has been mostly clock speed oriented. 

When AMD introduced a similar strategy, in October 2001, to name models on the performance ratings, there was some initial confusion among customers on differentiating one processor from another. Similar confusion will prevail in the case of Intel as well. 

Intel's move might come as a surprise to its contender AMD, which had spent a fortune on the renaming and rebranding of its products and had prophesied that clock speed is not a very good measure of performance. Its leading channel partner, SMC International´s Director, Himanshu Jain finds this move confusing. "About three years ago, when AMD had changed its model names to Performance Ratios (PR), which lead a huge hue and cry in the market that AMD is trying to emulate Intel´s genuine clock speed ratings. Intel's step is slightly confusing as well since it will involve a lot of learning and un-learning for
everyone­vendors, channel partners and end-users. This will also fuel the grey assemblers market."

However, HCL Technologies, a leading PC vendor in India feels that this new method might make things easier for users and vendors. According to the company spokesperson, "This new nomenclature will help vendors go beyond the clock speed myth. The new system of looking at other features such as platform and architecture, will set expectations right for most users." In addition to this, they feel that new nomenclature will be a check and balance system for grey market that sells its products by clock speeds and not by rest of the features.

Rajesh Jain, CEO for Netcore Technologies says, "Thanks to Moore's Law, I think the game has changed from one of speed to that of utility. How can the computer make a difference to my work and personal life is the question that customers are asking. It is much more about the solution (hardware, software and communications) taken, rather than just the CPU processing power." Rajesh feels that future computing will be more about CommPuting­a mix of communications and computing. 

SHWETA KHANNA

NEW DELHI