Intel Releases Low-Powered Atom Chips for Servers

Now that Intel Corp. (INTC) has released new chips for the smartphone market, where it has been squeezed out by competitors like ARM Holdings PLC (ARMH) and Qualcomm Inc. (QCOM), it has elected to restart its initiatives in the server business as well. Intel has three-quarters of that market, by most estimates. Although the opportunities in the corporate server market are not as great as those among consumers, it needs to keep its hold on one of its major franchises.

As it struggles to keep server share, it announced:

Intel revealed new details for the forthcoming Intel Atom processors C2000 product family aimed for low-energy, high-density microservers and storage (codenamed "Avoton"), and network devices (codenamed "Rangeley"). This second generation of Intel's 64-bit SoCs is expected to become available later this year and will be based on the company's 22nm process technology and the innovative Silvermont microarchitecture. It will feature up to eight cores with integrated Ethernet and support for up to 64GB of memory.

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The new products are expected to deliver up to four times the energy efficiency and up to seven times more performance than the first generation Intel Atom processor-based server SoCs introduced in December last year. Intel has been sampling the new Intel Atom processor server product family to customers since April and has already more than doubled the number of system designs compared to the previous generation.

The market probably will not need to wait long to see if the initiative works. Chip companies are fond of release data sales on new products, if they are successful. By the firm's next earnings call, Wall Street will know if the new Atom product and the servers it runs will replace older ones in which systems were less efficient.

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