Intel abandons a flagship product and it will cost them dearly!

News hardware Intel abandons a flagship product and it will cost them dearly!

Published on 08/01/2022 at 20:30

For a few years in the hot seat, this division should already have seen its doors closed not long ago. Intel promises not to abandon customers who currently use their products on a regular basis.

Revolutionary, for the time…

In his last
result report
, Intel announces the end of the Optane division. Once flagships of SSD storage acceleration. In 2015 SSDs were very expensive, hence the brilliant idea of ​​Intel to add an SSD that optimizes the performance of its storage medium. By adding it to an HDD for example, performance was increased tenfold, comparable to an SSHD (an SSD coupled to a conventional hard drive).

Memory is intelligent and understands what is regularly used by the person. As a result, all essential files are accessible directly from the fast storage medium. This memory adapts over time to the habits of the user. If you spent an intense period in video games, Optane stored your games in its storage. On the other hand, if you start using your computer for office automation, then your files will be stored there.

Today storage has become much more affordable and SSDs are even cheaper than HDDs back then. The need for Optane is therefore much reduced today. Even if the brand also made more traditional SSDs, like the Optane 9 series which starts at 400 euros and can reach 3000 euros.

Optane shutdown risks costing 550 million euros

It was one of the least profitable divisions, according to Intel. This sale of activity is already the sixth for the American company. Intel had already sold its SSD storage unit to SK Hynix for the tidy sum of 9 billion euros. Its drone division has left for Elon Musk’s brothers.

According to Intel “move results in inventory write-down/write-off of $559 million.” A colossal cost that will hurt the company that is already trying to make budget cuts. New CEO Pat Gelsinger’s goal is to simplify and get back to the basics of Intel’s business.

It is therefore a complete end for the storage subsidiary of Intel. The development of its SSD storage means has already come to a halt since the sale. It is therefore the turn of the revolutionary Optane memory to bow out. Knowing that the general public sector had already stopped for a few years. Only the professional part remained, which made it possible to boost the storage performance of the servers.

Intel will also stop its activity with professional servers. Initially tipped as the only storage subsidiary that should remain, finally it’s also time to draw the curtain.

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