Microprocessors

Advanced Logic Look for (ALR) and Compaq introduced 386 based machines prior to IBM was in a position to do so. Intel scaled back the 80386SX chip and in 1988 introduced a 16-bit version that might be used with 80286 hardware. The 80486DX chip was formulated in 1989 and combined a math co processor, which provides more speed, from the central processing unit. The 486DX also features 8 kilobytes of on board memory cache. Intel then introduced the 486SX in 1991; like the 386SX, this is a scaled back version with the 486DX (the math co processor is not included, for example). Intel has now announced the Pentium (80506) chip, and machines produced close to this technology are expected to be widely offered by 1994.

Intel's principal strength is in its dominance of the marketplace. Until recently, Intel had little or no competition from the chip market, which enabled it not merely to consume the overwhelming dominant position inside the market, but also gave it the capacity to significantly increase its revenues, as illustrated inside attached graph (the graphs use logarithmic scales so that rates of change can be viewed). A single of the factors that Intel was in a position to gain this strong industry position is due to IBM's choice to use Intel merchandise as soon as IBM entered the Personal computer market. After IBM entered the Personal computer market, there were many platforms and standards, having a large number of hardware manufacturers.

In addition, the threat posed by Apple, IBM and Motorola could be overstated. Apple has encountered issues with maintaining corporate customers, and is losing market share to IBM-compatible machines which can run the well-liked Microsoft Windows application. When IBM introduced its OS/2 operating system, it discovered that users had been reluctant to move to it during the additional familiar DOS product or service (written by Microsoft). The exact same might be real from the Power PC, which also includes participation from Microsoft.

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