The company was founded on July 18, 1968. Its initial founders were Robert Noyce and Gordon Moore. NM Electronics was the initial name of Intel Corporation. The name Intel Corporation means integrated Electronics. Since the name was already trademarked by another company (INTELCO), Noyce and Moore were therefore forced to buy the rights of the company. California is the headquarters of the company. The company majorly deals in the production of computer hardware. The company currently is said to employ over 100,000 employees currently.
Intel received its first funding from Arthur Rock, a venture capitalist. Arthur Rock funded the company with $2.5 million. Noyce and Moore's business plan written to Arthur Rock was only one page. Reputations which Intel founders had earned made it possible for them to receive initial capital funding. Initially, Noyce was one of the founders of silicon integrated Circuit. He was the General Manager of the company. Noyce and Moore took with him his former employees to form Intel Company. One of the notable recruits was Ander Grove a Hungarian-born American businessman (Malone, 2014).
Intel first produced memory chips. Its first chips namely 1101 did not sell. Metal oxide 1103 and DRAM were a breakthrough for the company. The chips were able to store information. IBM used Intel's microprocessors in 1984 when they decided to develop their first personal computer. It is during this time that Intel was able to increase it's earning to 1 Billion USD.
Compaq also produced their desktop systems that utilized Intel processor 80286 in 1985. The production of a faster processor (80286) in 1985 made it possible for PC makers to adopt compatible systems. It is during this period that Intel established themselves as undisputed market suppliers of PC hardware. The company growth increased in 1993 when Intel produced its Pentium series microprocessors. Much of the company's revenue in 1996 came from sales from its fifth generation chips. Intel introduced its first gigahertz processor in 2000.
The credit to designing of 1993 Pentium is given to an Indian Engineer. Vinod Dham, the inventor of Pentium Chip, was known across technology world as the father of Pentium Chip.
Expansions and Development
Intel began to expand beyond the chip business in the 1990s. IBM and Hewlett-Packard began to design Intel-based computers. To ensure that small computer companies used their products, Intel came up with motherboards. The motherboards contained all the necessary parts of a computer. It is estimated that Intel sold over 10 million motherboards by 1995. The sales were over 40% of the total PC market.
Intel established its first international manufacturing plant in 1972 in Penang, Malaysia. In 1973 Intel introduced its first wafer fabrication facility. It was located in Silicon Valley, Livermore, California.
Going Wireless. It was in 2000 when Intel decided to fully go wireless computing. It was during this time when Intel went ahead to establish technology training to teachers worldwide.
Intel co-founder Gordon Moore in 2001 retired as the company director. It was during this time when the company started an industry consortium of semiconductor companies which worked towards the development of extreme ultraviolet lithography. This technology was considered as a key to future production of semiconductor devices.
Paul Otellini becomes Intel's president, Graig Barret the CEO while Andy grove continued to be the chairman.
Liquidity ratios are ratios used to determine whether a company's current assets are enough to run the company.
Current ratio provides the company a clue on its ability to pay its short term liabilities. Repayment of its short term liabilities should come from short term assets (cash, inventory, and receivables). Intel Corporation for the past three years has witnessed a current ratio greater than 1. Intel Corporation is therefore in a position to meet its obligations.
The quick ratio is used to find out a company's ability to settle its current liabilities using its available cash. The quick ratio for Intel Corporation ("Income Statement For Intel Corp (INTC) From Morningstar.Com") for the past three years has been more than 1. It, therefore, means that Intel Corporation has strong liquidity and therefore in a good position to meet its immediate obligations.
Cash ratio is used in the comparison of a company's liquidity assets to its current liabilities. For the past three years, the cash ratio for the past three years has been more than 1. It, therefore, implies that Intel Corporation is in a better position when it comes to its cash at hand.
Efficiency ratios are used to show how well a company is in a position to use its assets to generate income. They are an indicator of how long it takes the company to recover debts from its customers and also to convert its available inventory to cash.
Solvency ratios help companies in measuring their ability to resolve their long term liabilities. It simply means that the solvency ratio is good in comparing a company's profitability to its debts. Liabilities to debt ratio of Intel Corporation for the past three years is averagely 0.4. This is an indicator that the company's debts have been below 40% of its total capital. Solvency ratio, therefore indicates that Intel Corporation is in a good position to control its long term obligations.
Profitability ratio analysis is important for its creditors and shareholders since it provides them with insight into a company's profits. Shareholders can earn dividends based on company profits. Operating profit margin is used to indicate how able a company is in converting its sales into profit. Gross profit margin shows the amount of gross profit a company makes for every 1 dollar sales it makes.
"Income Statement for Intel Corp (INTC) From Morningstar.Com." Financials.Morningstar.Com, 2019, http://financials.morningstar.com/income-statement/is.html?t=INTC®ion=usa&culture=en-US.
Malone, M. S. (2014). The Intel Trinity: How Robert Noyce, Gordon Moore, and Andy Grove Built the World's Most Important Company. Harper Collins.
Cite this page
History of Intel Corporation Paper Example. (2022, Dec 05). Retrieved from https://proessays.net/essays/history-of-intel-corporation-paper-example
If you are the original author of this essay and no longer wish to have it published on the ProEssays website, please click below to request its removal:
- Paper Example on the Results of DISC Assessment
- Leadership, Strategic Thinking and Leadership Interview Questions
- Factors Connecting the Employee Efficiency and Need for Training Paper Example
- Supporting Affordable Housing and Section 8 Vouchers Paper Example
- Amazon: A Premier Employer Despite Challenges in HR Recruiting - Essay Sample
- Debts: Double-Edged Sword That Can Lead to a Debt Cycle - Essay Sample
- Essay Example on Organizational Success Through Ethical Leadership Practices