Intel aggressively exploring the clone notebook market

Intel has aggressively adjusted to the clone notebook market, selling boxed processors to hundreds of small notebook system builders worldwide with testing services provided for some of its major clients, according to sources at Taiwanese notebook makers.Despite close relations with major brands, Intel has showed unusual zest in the clone notebook market since earlier this year. In one of its efforts, Intel has allied with Taiwanese notebook makers to develop notebook models exclusively used in the clone market and improve technical support for buyers in the market, according to sources.In the past, some regional distributors and small-sized system assemblers have built "white box" – unbranded or privately branded – notebooks by getting key components like processors and memory or barebones from different sources. Although the products may better accommodate the needs of individual buyers, they usually lack strong technical support when compared to major brands.The situation has improved significantly recently as many clone market vendors can now get notebooks whose quality has been endorsed by Intel. Through closer ties with the vendors and their Taiwanese notebook contract makers, Intel has begun to test white-box notebooks for the vendors before shipment, local notebook makers said.Signs of Intel’s interest in the clone market surfaced earlier. Since late 2002, the company has held at least three summits for major notebook makers and regional distributors worldwide. Despite grumbles from major brands, several Taiwanese notebook makers landed considerable orders from clone market vendors at the events, sources said.By nurturing relatively smaller clone market vendors, Intel expects to not only boost its processor sales but also alleviate the price-cutting pressure from major brands, which have aggressively tried to cut costs, the Taiwanese notebook maker said.The market scale of white-box notebooks is expected to reach 12 million units in 2006, local notebook makers quoted Intel as saying.Source: DigiTimes