Intel restructures for mobile boost

Chipmaker collapsing four divisions into larger mobile and communications entity to speed up and improve product development process.

Intel is looking to shore up its mobile efforts by combining four existing business divisions into a larger mobile and communications unit, co-headed by a former Apple employee, to speed up and improve the development process for chips used in smartphones and tablets.

According to a Reuters report Wednesday, Intel will be merging its netbook and tablets, ultra mobility, mobile communications and mobile wireless divisions. The new consolidated unit will be helmed by Mike Bell, who moved to Intel in 2010 after helping develop Apple's iPhone, and former Infineon executive Hermann Eul, who came over after the chipmaker acquired Infineon's wireless chip business last year.

Intel spokesperson Robert Manetta told Reuters: "The ultimate goal is we want to speed up and improve the development process."

This restructuring follows news that Intel had lowered its fourth-quarter revenue outlook from US$14.7 billion to US$13.7 billion due to the shortage of hard-disk drive supply, which it expects to continue into the first quarter of 2012.