Chinese handset-maker ZTE has announced a "strategic collaboration" with Intel with the goal of creating a phone built around Chipzilla's new Atom Z2580 processor. "The collaboration with Intel is an important part of ZTE's strategy for product development," the company wrote in its announcement, "both in terms of time-to-market …
Intel in China
Although it's highly unlikely that Intel's chips will find their way into phones from those two market leaders, The "design win" with ZTE might help it get some traction in the fast-growing Chinese smartphone market.
Yeah, so a a premium price chip like the Atom is really going to help ZTE take on all-comers in a market defined by price?
Despite the fact that some of the Intel-based phones, particularly the Motorola, seem quite good, Intel is starting to look like quite a slut touting all these co-operations. No doubt they'll be touting their 100 % market share on Mars next.
Intel's silicon is not in doubt, but their licensing terms are: how can manufacturers who adopt Intel and pay the normal rate hope to compete against the legions of the ARMy who chips are, well, cheap as chips?
Re: Intel in China
I have no idea what Intel will do, but one thing it could do to gain market share is pay phone makers to use its chips.
I imagine that to avoid accusations of anti-competitive activity Intel could sell the chips at the 'normal' cost, for instance $10, and pay phone manufacturers to carry Intel advertising on the phone case at say $10.01 per phone. 'Intel Inside'?
The problem with Intel is that they don't really have anything special to offer over cheaper ARM-based chips.
Then there's the ugly 'Intel Inside' branding that they tack on to the back of the phones. Do they really think the average consumer will care if it has Intel inside or not? Does the average consumer even know what Intel really is?
"The collaboration with Intel is an important part of ZTE's strategy for product development," the company wrote in its announcement, "both in terms of time-to-market and in providing customers' with a great handset experience."...
...and loads of marketing dollars :D