In 1966, Dr. Robert H. Dennard invented the first DRAM chip (Bellis). This allowed Intel to break into a new market, one which had not been established before. Along with releasing a newly –found technology, the newly created Intel was able to establish a reputation among the competition. …
Dennard claims he went home and formulated the basic idea for DRAM within a few hours, as Mary Bellis explains, “Dennard and his team were working on early field-effect transistors and integrated circuits, and his attention to memory chips came from seeing another team's research with thin-film magnetic memory. Dennard claims he went home and within a few hours had gotten the basic ideas for the creation of DRAM.” Within two years after its release, Intel would become a world leader in DRAM technologies. Intel created the Memory Systems Operation to assemble the DRAM chips to standards required for sale to OEM’s (Original Equipment Manufacturers), who then put the chips into more sophisticated machines. This operation allowed Intel to distribute their technologies to a wider area. This strategy, in conjunction with offering replacement parts for mainframe computer memories, allowed them to gain more control over the market. Over ninety percent of Intel’s revenue was brought in by their DRAM, which was the world’s largest selling semi-conductor. Always being the first into new markets, Intel used that strategy and the fact they were the first to release DRAM to heighten sales of the chips and create the success they did ( Lazonick 148-149). Intel’s business strategy was very aggressive and they knew how to play the market to maximize profits. ...
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