Analysts said Thursday that Intel's choice of Chief Operating Officer Brian Krzanich as CEO signals that the company is likely to leverage their manufacturing advantage to improve results damaged by computer users' switch to mobile devices from personal computers.

"Their strategy right now involves doubling or even tripling down on manufacturing. He's the manufacturing guy." -- Bernstein Research analyst Stacy Rasgon, to The Wall Street Journal

"They need to try to amplify that manufacturing advantage as much as they can. They don't have another edge." -- Evercore Partners analyst Patrick Wang, to Bloomberg News

"He was the obvious choice from the standpoint that they selected the COO as their CEO several times in the past. This removes the risk of uncertainty of an outsider coming in and changing the strategy at the company. I think (Wall Street) will perceive it as Intel's strategy remaining consistent." -- RBC Capital Markets analyst Doug Freedman, to Reuters

"An external candidate might have been a better choice -- with no negative reflection on Brian -- simply because of the juncture Intel is at with what's happening in the PC market and the need to take major action outside of PCs." -- Williams Financial Group analyst Cody Acree, to Reuters

Contact Jeremy C. Owens at 408-920-5876; follow him at Twitter.com/mercbizbreak.



Advertisement