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The deal between Nokia and Microsoft was so unexpected for Intel CEO Paul Otellini that he cursed. Otellini said that Nokia CEO Stephen Elop called him to talk about Nokia switching to Windows Phone as its primary smartphone platform, and Otellini said he responded with a word that Yahoo CEO Carol Bartz "has often used." He was referring to her reputation for using foul language.
"I understood why they did it," Otellini said according to TG Daily. "I guess if I was in his position I would have made the same or a similar call. You're seeing the last fully integrated phone manufacturer become more horizontal, exactly what we saw in the PC model where people focus on what they're good at: chips or software or distribution."
After picking Windows Phone, Nokia said that Symbian would become a franchise platform, leveraging previous investments to harvest additional value, while MeeGo would become an open-source mobile operating system project with increased emphasis on longer-term market exploration of next-generation devices, platforms, and user experiences. Nokia still plans to ship a MeeGo-related product later this year (we think it's their tablet).
Intel is affected by the latter. MeeGo was created in partnership between the two companies. With Nokia saying that it is only expecting to put MeeGo on computers, it's up to Intel to push it out on smartphones. Otellini has said that a number of smartphone models would be launched this year using the firm's processors, but has not specifically said if it will encourage companies to put MeeGo on them.
The chip giant is, however, considering new MeeGo partners. "We will find another partner," Otellini said according to Reuters. "The carriers still want a third ecosystem and the carriers want an open ecosystem, and that's the thing that drives our motivation."