Is it just me, or is Intel desperate?

by Mathew on November 8, 2006 · 10 comments

Okay, someone explain this to me: Intel, a company that makes microprocessors, is backing and selling — but not profiting from — a suite of “Enterprise 2.0″ software for companies that includes blogging software (Typepad), a wiki (Socialtext), and RSS feed software (Simplefeed and Newsgator), called Suite Two.

Is the microchip giant hoping that a little Web 2.0 pixie dust will get sprinkled on it, just like Level 3 seems to be? It’s obviously not in it to make any money, since it has already stated that it doesn’t intend to make any from the venture. So it must be hoping that companies will need to upgrade their machines to dual-core monsters to run all that Enterprise 2.0 gee-whizzery, right? Please.

intel

The whole point of these kinds of software is that they are lighter and more versatile — and cheaper — than traditional ways of doing business with employees and customers. So why would Intel want to bundle them up and charge an arm and a leg for them? More to the point, why would anyone go for that deal?

The implication is that big companies are so slow-moving and dim-witted that they need the Intel name to get them comfortable with anything new, and are willing to pay through the nose for it. Unfortunately, that’s probably not far from the truth in a lot of cases. And meanwhile, Intel the plumber gets to look all cool by hanging with the hip Web 2.0 crowd.

Update:

Josh Bancroft, who works at Intel, has a great overview on his blog Tiny Screenfuls.

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