By Noel Randewich
SAN FRANCISCO (Reuters) - Intel Chairman Andy Bryant said on Thursday he is no longer embarrassed about the top chipmaker's lack of progress in mobile business but he's still not proud.
Kicking off Intel's annual investor day, Bryant said he saw progress in Intel's strategy of staking out a big chunk of market share in tablets this year by offering manufacturers subsidies to use its chips.
"I’m not going to tell you I'm proud of losing the kind of money we’re losing but I’m also going to tell you I’m not embarrassed by it like I was a year ago about where we were," Bryant said. "This is the price you pay for sitting on the sidelines for a number of years and then fighting your way back into the market."
Intel was late to mobile and under CEO Brian Krzanich, who took over last year, it has rushed to make its technology more suitable for tablets and smartphones and compete better against Qualcomm, MediaTek and others.
Krzanich said a plan disclosed this week to merge Intel's mobile unit with its PC group was in line with manufacturing customers that see their own product lineups of smartphones, tablets and laptops merging.
He said Intel was on track to exceed its goal of seeing its chips used in 40 million tablets this year. That strategy made Intel the No 2 tablet chip supplier in the June quarter, according to market research firm Strategy Analytics, but it cost the company billions of dollars in subsidies.
Intel has made much less progress in chips for smartphones.
(Reporting by Noel Randewich; editing by Andrew Hay)