CASE 3-8Intel Corporation: The Hood River Project

INTEL BACKGROUND

• Founded in 1968 by Robert Noyce and Gordon Moore, two legends in the emerging field of solid-state electronics. Noyce and Moore were soon joined by their new director of operations, Andy Grove.

Intel’s Strategy

• Focused on technology leadership• Fast-mover advantage• The dominance of horizontal markets

Intel Organization ChartIntel was organized in a matrix structure

consisting of both and functional groups. A typical feature of Intel’s organization was for groups to be headed by two people, known as “two-in-a-box,” which usually included one person with a technical orientation and another one with a business orientation. At the top of the organization chart, Andy Grove, Craig Barrett, and Gordon Moore were shown as three-in-a-box.

Gordon Moore / Andy Grove / Craig Barrett

DPG : Desktop Products GroupMike Aymar / Pat Gelsinger

MHPG : Mobile&Handheld Products GroupStephen / Nachtshein

EPG : Enterprise Products GroupDave House / John Miner

Hood River Seed ProgramSiegel identified three phases of home

computing, which consisted of- The PC today- The PC as it move into the family room- The PC anywhere in the home- Where everything talks to everything else

Hood River Seed ProgramThe specific objectives of the seed

program- To build a reference design and a prototype to

demonstrate consumer electronic capabilities - To develop a marketing and partner strategy

for the new product- To integrate the new venture into core Intel

products and systems within the Desktop Products Group (DPG)

The Hood River Venture Team

DPG, the Hood River project split into parts, with the marketing creation &

product concept and the system & product implementation

The Hood River Venture Team

OPSD was responsible for the high-level product concept and product definition, as well as evangelizing the product, interfacing with customers, and understanding the market

The Hood River Product ConceptThese were four major components to

the product which included- Communications- Audio and Video- Computer hardware- Software

Hood River Product Description, August 1996“A dazzling, full function entertainmentcomputer for the family room”

Primary Features- Big screen, 3D games- DVD surround sound movies- Video phone- Intercast- Home message center- Web browsing/Net games- New social, team games

Distinguishing Characteristics- Fits in the family room ecology

* Quiet consumer electronics chassis* Complements existing consumer electronics appliances, such as TV, VCR, stereo, etc.* Wireless input devices

- Controls other consumer electronics products

- Higher quality audio and video- Enhanced TV/VCR viewing

Member Of Group

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