Intel Corp. announced that the company is consolidating their mobile business division in order to have a competitive advantage in the ever-developing mobile market.

Intel, the world's largest chip maker, said it will be utilizing a new business unit called the Mobile Communications Group (MCG). This business unit was the product of the unification of their former business units namely netbooks and tablets, ultra-mobility, mobile communications, and mobile wireless divisions. This new business unit would also be able to efficiently address the needs of the new mobile and consumer devices. Aside from that, the division would be more focused in terms of working on reference designs, interoperability between components, software, etc. This strategy would enable the company to accelerate time-to-market of products that are powered by Intel's Silicon.

The MCG will be led by Intel executives Mike Bell and Hermann Eul. Mike Bell took part in the development of Apple's iPhone before joining Intel while Hermann Eul became involved in Intel through the company's acquisition of Infineon Technologies' wireless chip business. Robert Manetta, a spokesman for Intel described this strategic move as something that is "designed to provide clear differentiation for Intel-based mobile devices and to speed and improve development of Intel-based mobile devices and components." As for the leaders of this new business unit, Manetta described the appointment of the leaders as a way to "maximize the use of two executives who have "strong track records in mobile devices."

This is not the first time that Intel had incorporated this kind of change within the company in order to have a strong advantage in the ever-growing mobile market. The company already implemented this kind of strategy in order to develop their network and tablet technology. Unfortunately, these strategies were not as productive as the company predicted it would be.

This article written in Techspot discussed the possible problem as to why Intel's efforts were not met with success. According to Jose Vilches, there are several issues that are needed to be addressed stating that:

Besides focus and leadership, Intel's problem is it hasn't been able to produce a low-power and cost-effective chip that manufacturers actually want to use in their smartphone and tablet designs over an ARM-based solution from companies like Nvidia, Qualcomm, Texas Instruments, and others.