Chip giant Intel(INTC_) claimed a major breakthrough in chip design this week with the launch of 3-D transistors, which it will debut in a new 22-nanometer processor dubbed Ivy Bridge.
The transistors, which Intel billed as the company's most significant technology announcement of the year, come at a time when the No. 1 chipmaker is under increasing pressure from ARM Holdings'(ARMH_) low-power technology.
We're going to be able to provide better performance and lower power at the same time," said Bill Holt, general manager of Intel's technology and manufacturing group, during a press conference on Wednesday. "We have been working on this for the last 10 years -- we will be making upgrades to our factories over this year and next year to have them ramp up this technology."
Transistors, which are microscopic switches, have typically been flat structures on the surface of processors. Intel, however, has built a tiny silicon fin that juts out from the transistors, which it is calling "3-D Tri-Gate." This technology will boost the transfer of current across processors and also improve the density of transistors on chips, according to the tech giant.
Intel shares finished the week down 1.52% at $23.25.
Embattled networking giant Cisco(CSCO_) announced yet more restructuring this week ahead of its forthcoming third-quarter results.
The switch maker, which has been wrestling with execution problems and slumping shares, will streamline its sales, services and engineering organizations, according to a statement released before the market open on Thursday.
"Cisco has driven transformational change before, and we are again transitioning to the next stage of the company's evolution," said Cisco CEO John Chambers, in the statement. "It's time to simplify the way we execute our strategy, and today's announcement is a key step forward."
Following several quarters of weak sales and guidance, the networking giant is attempting to get its business back on track and satisfy investors. The latest overhaul follows Cisco's recent decision to shutter its Flip consumer video business.
There are hopes, however, that Cisco could reap the benefits of a healthy spending environment when it reports its third-quarter results after market close on Wednesday. Citing a survey of 92 Cisco resellers, analyst firm Robert W. Baird has noted solid demand in the U.S. corporate sector, which is being offset by challenges in EMEA and public spending.
Cisco closed up 0.46% at $17.56 on Friday.
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