International Business Machines Corp. (IBM) To Crush Intel Corporation (INTC)’s Monopoly in Data Center and Cloud


Intel Corporation (NASDAQ:INTC)’s chip and data center business experienced a massive growth in the last year when margins and revenues beat all the estimates. An article on Investopedia said that Intel Corporation (NASDAQ:INTC) had a strong monopoly in the data center and chips business, but that ship is about to sail off because International Business Machines Corp. (NYSE:IBM) is making a strong comeback with its Power chip technology which is becoming a favorite choice for the Cloud companies. ARM is another player which is crushing Intel Corporation (NASDAQ:INTC)’s efforts in the mobile market.

Intel Corporation (NASDAQ:INTC) will have to decrease its prices in order to compete with IBM’s market penetration. This would immediately eat up the large margins. International Business Machines Corp. (NYSE:IBM)’s power chips are liked by most of the high end tech companies because the International Business Machines Corp. (NYSE:IBM) has a strong history of making hardware for the performance critical apps and hardware. The source said that the small but decisive chunk of high-end market in the Cloud domain was dominated by Intel Corporation (NASDAQ:INTC), but as International Business Machines Corp. (NYSE:IBM) is taking its way in the market, Intel will face issues.

ARM is another company with which Intel’s completion is going to heat up. But ARM has a huge problem: It is famous for designing chips for low-end market, like mobile. When it comes to Cloud, Big Data and data center, Intel Corporation (NASDAQ:INTC) is the only option. But on the flipside, Intel Corporation (NASDAQ:INTC) is at a loss and getting crushed by ARM in the mobile domain, the most important market in the contemporary tech world. Intel is trying hard to get success in the mobile domain.

International Business Machines Corp. (NYSE:IBM) and ARM are gearing up to give a tough time to Intel Corporation (NASDAQ:INTC) and the competition will surge in the coming quarters.

  As of June 30, 2014, Ken Fisher’s Fisher Asset Management owns over 18 million shares in Intel Corporation (NASDAQ:INTC).


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