1. Identify three key steps (innovations) in the development of microchip technology.

In each case explain how the
innovation has transformed people’s work, life and/or leisure.

Three key steps (innovations) in the development of microchip technology
 Research
 Development
 Manufacture

 The Silicon Innovation
 The Transistor Innovation
 The Nano Innovation

How the innovations have transformed people’s work, life, leisure? Examples
 Research: Improving a microprocessor to run computer programs at the same time (Ideas).
 Develop: Less energy consumption.
 Manufacturing: design a particular chip to do that, they work with customers, software companies, Intel’s
marketing – manufacturing, testing staff.

2. What is meant by a) market-led and b) product-led new product development? Give two examples to show how
Intel has combined market-led and product-led approaches.

 Product-orientated development focuses on developing the production process and the product itself
arising (new use of technology or innovation).
 Market-orientated approach identifies and analyses customer needs. It then develops products which meet

3. Show how research and development has enabled Intel to develop a new product that is aimed at a specific
group of users.
 They provide chips for many different segments
 They identify their segments by products Ex. notebooks, desktops, servers, etc.
 2 main groups of customers : -
- Business market Example: desktop computers or laptops for companies
- Personal use Example: notebook computers for students
 They reached that by:
- Research - Research into manufacturing capabilities and material.
- More broad research focused on what technology can offer.

4. Why is it so important for businesses like Intel to invest in R&D? Explain with examples how R&D has enabled
Intel to gain competitive advantage.

 IT field requires R&D
 Intel is a company that produces the chips that deliver this increased computing power.
 There are many competitors that produce chip in the market
 With R&D, Intel can make many revolutionary products.
 7 main competitors of Intel include IBM, Toshiba, AMD, Samsung, Chartered, Infineon and Freescale, cooperate
together to produce the chip in the 32 nanometer.
 With Intel, Intel invests a lot in R&D so it can overcome competitors to produce chip in 45 nanometers transistor.
 The first company in the market that can produce silicon chip.