Intel, which just recently announced that it is planning to merge its Mobile Chip business with its PC business, may still find no solace. ASUS, which unarguably, sells the only popular Intel powered smartphone, is now planning to switch to Qualcomm for its 2015 Zenfone models.
A report from Taiwan based DigiTimes suggests that in order to push Intel for further price cuts on its third generation chip models, ASUStek is planning to switch to Qualcomm’s solutions for its 2015 Zenfone models.
ASUStek CEO Jerry Shen recently announced that the company is planning to showcase the second generation Zenfones in CES 2015, and it will adopt Intel chips for all models prior to March 2015. It is still unknown whether ASUS will announce the Qualcomm powered models in CES next year, or not.
Though it is almost certain that the Taiwan based smartphone maker is ditching Intel for its Q2 2015 Zenfones, Intel will still account for over 60% of estimated 16 million Zenfone shipments for 2015.
But it is not all hay day for ASUS. Analysts believe that if Intel fails to comply with ASUS’s new policies, its move to pressurise Intel may backfire. This is because, the Qualcomm platform which ASUS is aiming for has almost no cost advantage and Asustek is unlikely to receive extensive support from Qualcomm due to no history of a long partnership between the two brands.