The internet of things is great for chipmakers and a challenge for Intel


As chipmakers realize the power and increasing amount of silicon is inside our connected devices they are racing to own as much of the market as possible while publicizing their work in the internet of things.

Yesterday, for the first time, Intel broke out details regarding the revenue associated with the internet of things. It was up 32 percent year over year to $482 million, a veritable nanometer of Intel’s $12.8 billion in total revenue for the first quarter. But the fact that the world’s largest chipmaker decided to break out its IoT platforms and software products marks a trend in the chip world.

But unfortunately for giants like Intel, which have focused on the high-end x86 chips in servers and personal computers, the internet of things might have a lot of promise but its average selling price for silicon is generally low. Also, it requires a very different…

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