An upcoming Intel Atom chip may blunt the growth of tablets based on the widely used ARM processor--with the possible exception of Apple, according to an analyst at UBS Investment Research.
Uche Orji of UBS made the comments today in a research note upgrading Intel's stock to a "buy."
Windows tablets based on Intel's "Oak Trail" Atom chips could have a larger market impact than expected, Orji wrote. "While tablet forecasts for 2011 in excess of 50m (50 million) are not unreasonable (our Atmel touch controller forecasts infers a tablet market size of 56m), none of these forecasts are likely to fully incorporate the scenario of a significant counter-attack from a new generation of notebooks and x86-based tablets that could ultimately limit the growth of ARM-based tablets (at least those that are non-Apple)," Orji wrote.
Apple's A4 processor, used in the iPad, is based on an ARM design. Orji is referring to future ARM-based tablets that use, for example, Qualcomm's dual-core Snapdragon chip and Nvidia's dual-core Tegra processor.
Ashok Kumar, managing director and analyst at Rodman & Renshaw, took a different tack… Read more