Intel: Complete Guide — History, Products, Founding, and More

Founded in 1968 by Robert Noyce and Gordon Moore, Intel started as a manufacturer of semiconductor computer memory. Today, the Intel name is branded across billions of computers in homes and businesses worldwide, and it has helped grow the PC industry. While its future is uncertain in an AI world, Intel’s history goes hand-in-hand with the rise of the computer itself.

Intel: The Visual History

While the history of Intel isn’t unfamiliar to those who love the computer industry, this video by Business Hook explains the company’s founding well. It discusses the company’s origins, including its original name: “NM Electronics.” As a household name in the computer world, understanding where and how Intel became such a central part of the computer era is an incredible story.

Even though Intel’s fortunes have been on a downward trend lately, the company’s story is no less important. As the video highlights, it’s very easy to recognize that the computer industry as we know it today is as thriving as it is because Intel helped introduce microprocessors to the world. Of course, nothing is as important as Intel’s first processor, the 4004.

The History of Intel: What to know

Intel started in Mountain View, CA, in 1968 as a semiconductor chip manufacturer. By 1971, the company was able to make commercially available products. Since its founding as a microprocessor manufacturer, the company has expanded its operations to the present-day Santa Clara headquarters.

Today, the company is known for its processors used in personal computers. GPU technology is some of the best in the modern computing industry, and its products have fundamentally changed personal computing. In recent years, the company has used some of its technology in the self-driving car industry.

The software, technology, and drivers make the brand known for its high quality. Intel’s processors are widespread and are used on many laptop brands. When many people buy computers today, they assume they most likely use Intel processors.

The Founding of Intel: How It Happened

Intel was the product of Robert Noyce and Gordon Moore, two Silicon Valley innovators. Both men founded Fairchild Semiconductor in 1957, giving them knowledge of how the semiconductor chip worked to help the new company succeed. Noyce and Morre started their new project in July 1968 after wanting to do more innovative work than possible at Fairfield.

The founders named the fledgling microprocessor company Intel instead of the original N.M. Electronics to make things more interesting. Noyce and Moore purchased the rights to the name Intelco from a hotel chain that was already using it. Although the type of personal computer used by the general public was still years away, the company saw substantial growth by its third year.

Intel Through the Years

1968-1969 — Early Semiconductor Chip Development

Noyes and Moore started their company to create more affordable, practical semiconductor products. With the help of a venture capitalist, the new company raised $2.5 million over two days.

In 1969, the company invented the first microprocessor in the world. One of the company’s most significant achievements was producing processors for a Japanese company, Busicom, that made desktop calculators. Although this company went out of business by 1974, Intel bought back the rights to their processor technology, which helped make further production possible.

1990-1997 — Intel Becomes a Household Name

The personal computer market was small until the late 1980s, when more households started to buy computers for gaming and other purposes. A processor designed during this time, the 386, helped provide momentum for the company’s “Intel Inside” campaign. An increasing number of computers started using Intel processors.

Intel partnered with many computer manufacturers during the 1990s, permitting the companies to use “Intel Inside” in advertising. These joint advertising campaigns were among some of the most successful of their kind. By the later part of the decade, Intel ran its commercials with the help of major special-effects companies like Industrial Light & Magic.

2005-Present — Intel Dominates the Processor Market and Further Expands

In the 1990s, the company began creating motherboards with chips and graphics cards. Most personal computers made by companies besides Apple used Intel, but between 2005 and 2020, Apple also used Intel processors.

The iCore line debuted in 2006, providing a framework for gaming and other high-performance computers. Between 2008 and 2021, the company produced hard drives, with this line later acquired by SK Hynix. This company has also been involved in the self-driving car technology market since 2017.

What Are the Most Important Inventions from Intel?

Intel 4004

The Intel 4004 was the company’s first microprocessor. This model helped create a path for future microprocessor models that would provide the backbone of modern computing. Later incarnations of this chip would be used in other consumer electronics.

Pentium

The Pentium processor, dating back to the mid-1990s, was used in most computers manufactured for home use. As more computer users started using laptops, this processor remained popular. More recent versions, such as current GPU options, have built and improved on this technology.

How Does Intel Make Money?

Intel has created microprocessors since its inception in 1968. However, their products have evolved to meet changing technology demands over the years. Since discontinued, previous products have included hard drives. Today, the company makes money by selling its wide range of computer-related products and services, although microprocessors are still its primary source of revenue.

Intel Acquisitions

Altera – $16.75 billion – 2015

Altera produced field-programmable gate arrays, which were configurable smart chips. As of 2022, Altera was the largest in terms of cost of Intel’s 87 acquisitions.

Mobileye – $15.3 billion – 2017

Mobileye was connected to self-driving car technology. This acquisition has helped give the company a place in emerging automotive technology. One of the lasting effects of this acquisition has been better, more efficient car technology.

Intel Notable Controversies

Antitrust Allegations and Litigation – 2005 to 2012

Competitor AMD filed an antitrust suit in the District of Delaware against Intel in 2005, citing unfair competition. The suit resulted in a settlement in 2009, with the company agreeing to pay $1.25 billion. A similar suit was filed in the New York Attorney General’s office in 2012, resulting in Intel paying a $6.6 million settlement.

Xinjian Componant Use Ban – December 2021

Intel sent a year-end letter to its suppliers about avoiding components that were made in Xinjiang, citing China’s treatment of the Uyghur Muslims from that region. This action was in response to U.S. policy but sparked controversy in China. Later, the company apologized for the letter, citing a desire to avoid taking political positions.

What Is Intel’s Future?

The sudden resignation of the company’s CEO in early December 2024 begs the question of where the company goes from here. With Apple’s decision to create its processors and AMD more popular than ever, Intel’s once iron-fist grip on the processor market has never been so shaky. There is no question the company is focusing on advanced AI work to sort of “reboot” the company for the future.

However, this all begs the question of whether Intel will concede that its once-giant market share in the chip market is gone forever. Even if this were true, which all signs point to, giving up on Intel isn’t something to consider lightly. This company has a mighty name, an incredible talent pool, and the knowledge to make something exceptional with AI.

The image featured at the top of this post is ©Intel Free Press / Creative Commons Attribution 2.0 Generic license.