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I don't see anything special here.
Intel's main market are still server, desktop processors and more powerfull mobile processors.
Outsourcing Atom means for them that they don't have to build necessary fabs for a larger quantity themselves. If the netbook hype somewhat diminishes or they fail to get into smaller devices, they just don't order anymore.
It may be that Netbooks are in the talks everywhere, but still Atom is not *that* an important processor to Intel. From the article refered to in the earlier story:
Intel recorded revenue of $8.2 billion
Atom [...] pulled in $300 million in revenue
That's 3.7%.
Edited 2009-03-02 20:56 UTC
Yeah I'm wondering about this, seriously. Everybody is talking about the netbook market, but really. It is some gadget some people want to have and can afford. A clever way of creating an entirely new market. But this market will be repleted very quickly.
And about even smaller devices: Intel still has a lot of work to do. Ok I understand the idea of packing atom into a SoC design. Current implications? It will take them quite some time for the first prototype..
Given that Intel is also doing Linux's driver development, I think that it's fair to say that what they want is to flood the embedded world with x86 not necessarily Windows..
Yes Intel has a monopoly on x86 CPU, but I don't think that this agreement with TSMC is an abuse of their monopoly.
http://componentsforlaptop.com/news/2008/10/02/tsmc-bringing-28nm-c...
28nm atom's. while intel and AMD will be at 32nm by then TSMC will be a little better off.
and:
"As part of the collaboration, Intel Atom CPU cores will be ported to the TSMC technology platform including processes, IP, libraries, and design flows. The result will have Intel Atom SoCs available for a wider range of applications. Intel says it will significantly broaden the market opportunities for the Atom SoCs and accelerate the deployment through multiple SoC implementations."
TSMC is still working out the kinks out of their 40nm process. Intel has working 32nm *today*.
Intel will be in 22nm lad by the time TSMC has anything close to be working regarding their 28nm process.
By the time they get their 28nm ready (I haven't heard of that node size). Unless their 28 nm is a half node revision of their 40nm process (TSMC has a history of doing 0.5 node increases rather than full node releases, i.e. their 55nm process is pretty much a tweaked 65nm process, like their 80nm was to the 90nm).



