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    Intel demonstrates semiconductors for notebook computers


    BLOOMBERG
    Friday, Feb 20, 2004, Page 12

    Intel Corp, the world's biggest semiconductor maker, demonstrated a new set of chips to run notebook computers as consumers and businesses buy laptops with wireless Internet hookups.

    Code-named Sonoma, the chipset adds features including better video and audio quality to the company's Centrino product, Intel vice president Anand Chandrasekher said at a conference in San Francisco.

    Wireless fidelity, or Wi-Fi, which connects laptops to the Internet without a phone line, is boosting sales of notebooks with Centrino, analysts have said. The number of users of so-called hotspots that provide Wi-Fi connections will more than triple to 30 million worldwide this year from 9.3 million last year, researcher Gartner Inc said yesterday.

    "Wi-Fi has become easier and that's a big deal," said Matthew Wilkins, an analyst with market researcher iSuppli Inc.

    "Intel has realized this and it's really clicking for them in a big way."

    Intel launched a US$300 million print, broadcast and Internet advertising campaign last year to promote Centrino. The company has said that more than 80 percent of laptops sold this year will have Wi-Fi capability.

    "Intel wasn't early" to the market developing Wi-Fi chips, said Pat Gelsinger, the company's chief technology officer, in an interview. "But when we recognized its importance, we bet big.

    "The marketing of Wi-Fi would've happened, just not as fast without our help," he said.

    Sonoma will use a chip called Dothan, which will begin shipping during the second quarter, as its main processor.
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