Intel - From Inventors of the CPU to Laughing Stock [Part 1]

00:23:09
https://www.youtube.com/watch?v=JH2nXMv6yZI

Zusammenfassung

TLDRThis video from Cold Fusion provides an in-depth look at Intel's origins and historical influence on the computing industry. Starting with its role in inventing the first CPU, Intel became a key player in technology by transforming computing. Despite initial dominance, the company faced growing competition from AMD, Nvidia, and Apple, jeopardizing its leadership position. The narrative delves into the impact of Fairchild Semiconductor, the rise of Silicon Valley culture, and the development of the revolutionary Intel 4004 CPU. It also covers the 'Traitorous Eight,' Intel's strategic decisions, market challenges, and ongoing influence in CPU manufacturing, setting the stage for innovation and competition in the tech world.

Mitbringsel

  • 💡 Intel invented the first CPU, changing computing irreversibly.
  • 🧐 Fairchild Semiconductor played a crucial role in starting Silicon Valley.
  • 📈 Intel's early CPUs, like the 4004, were pivotal in the computer revolution.
  • 🤝 Intel stemmed from 'Traitorous Eight' engineers who left Shockley Semiconductor.
  • 📊 Intel led the CPU market but faced late-20th century challenges.
  • ✔️ The integrated circuit was essential for modern computing development.
  • 🔍 Moore's Law drives continued technological advancement.
  • 📉 Intel's later struggles came from complacency and innovation gaps.
  • 🔄 The silicon-based integrated circuit enabled compact, efficient chips.
  • 🏭 Intel, AMD competition reshaped the semiconductor industry.

Zeitleiste

  • 00:00:00 - 00:05:00

    The video introduction highlights Intel's historical significance as the pioneer of CPUs, the brain of modern computers, whose market dominance spanned decades. The decline in their lead due to competitors like AMD, Apple, and NVIDIA is noted. This sets the stage for a two-part series to explore Intel's rise and current challenges, starting with their contribution to the transistor revolution and the paradigm shift their CPUs created.

  • 00:05:00 - 00:10:00

    The narrative explains the move from Shockley's lab to the foundational creation of Fairchild Semiconductor by 'the traitorous eight,' leading to the birth of Silicon Valley. Fairchild's culture of innovation and risk-taking paved the way for the tech boom, spawning numerous startups, including Intel. By pioneering integrated circuits, the seeds for widespread computing were sown, though Fairchild faced competitive pressures over time, requiring a new venture to maintain technological leadership.

  • 00:10:00 - 00:15:00

    Intel's strategic pivot in the late 1960s, prompted by a client project, led to the groundbreaking development of the CPU. Engineer Ted Hoff's innovative approach and the subsequent formation and efforts of teams at Intel facilitated the creation of the Intel 4004, the world's first CPU, revolutionizing computing. Fairchild's legacy, combined with internal Intel innovations, laid the groundwork for the digital age and personal computing revolution.

  • 00:15:00 - 00:23:09

    The later segments cover Intel's rise to dominance in personal computing during the 1980s and 1990s with the Pentium series. The challenges from competitors like AMD and Intel's strategic missteps, which allowed AMD to gain ground under new leadership, are discussed. Despite setbacks, Intel remains a leading CPU manufacturer. The conclusion hints at exploring Intel's more recent struggles in the next video, focusing on mobile processing challenges and competition from AMD and Apple.

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Mind Map

Video-Fragen und Antworten

  • Who invented the CPU?

    Intel was the first to invent the CPU, the brain of all computers.

  • What impact did Fairchild Semiconductor have?

    Fairchild Semiconductor initiated the Silicon Valley culture and significantly influenced technology development.

  • Why did Intel face competition from AMD and others?

    Intel's lead was challenged by AMD, as well as companies like Nvidia and Apple.

  • What was the significance of the Intel 4004 CPU?

    It was the first CPU, shrinking computers to the size of a fingertip and marking the start of the digital revolution.

  • How did Intel contribute to the personal computer era?

    Intel's CPUs, starting with the 4004, enabled the development and popularization of personal computers.

  • What factors caused Intel to lose its industry leadership later on?

    Complacency and a failure to innovate for mobile processing allowed competitors like AMD and Apple to gain ground.

  • What is Moore's Law?

    Gordon Moore, Intel's co-founder, observed that the number of transistors on a microchip doubles about every two years.

  • Why was the integrated circuit important?

    It allowed for the packing of transistors in a single chip, paving the way for modern computing devices.

  • What were the 'Traitorous Eight'?

    A group of former employees from Shockley Semiconductor who left to form Fairchild Semiconductor, later impacting the tech industry.

  • What challenges did Intel face in the 1980s?

    Intel faced financial losses and competition in the 1980s, needing innovation to recapture the market.

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Automatisches Blättern:
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    this video is brought to you by morning
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    brew
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    hi welcome to another episode of cold
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    fusion
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    since the inception of mainstream
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    computers intel has been instrumental in
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    powering the industry
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    they were the first company to invent
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    the cpu which is the brain of all
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    computers
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    and for decades their chips dominated
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    the market
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    in the 1950s and 60s before intel's
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    groundbreaking chip
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    circuit chips were needed for each
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    application a computer performed
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    in contrast a cpu is a single chip that
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    could be programmed to run anything
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    the impact of the invention of the cpu
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    can't be understated
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    and to this day the technology remains
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    intel's main product
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    but recently intel's performance lead
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    has all but been eaten away
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    by amd and they're also being challenged
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    by apple as we saw in a recent episode
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    to make things worse they've lost the
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    crown of america's most valuable chip
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    manufacturer
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    to nvidia a company known for their
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    graphics chips and more recently
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    ai research in this two-part series
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    we'll take a look at how intel was
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    founded and how they came to dominate
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    the industry
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    and then in the next episode we'll look
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    at how they manage to get into trouble
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    and what lies ahead in the future let's
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    begin
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    you are watching cold fusion tv
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    [Music]
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    first developed in 1947 by john bardeen
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    and walter brettain and under the
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    supervision of william shockley the
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    transistor
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    is perhaps the most revolutionary
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    invention of the 20th century
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    the original purpose of the device was
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    simply to amplify
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    that is strengthen electrical signals
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    but it soon turned into something much
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    greater
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    no one could have expected the
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    revolution that something so physically
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    small
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    would bring to business culture and
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    society
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    today our computers have billions of
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    transistors tucked away in their chips
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    and it's what makes them tick
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    so how does it work in addition to
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    amplifying signals
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    a transistor at its fundamental level
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    can essentially behave as a switch
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    they can control the flow of electrons
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    by being either in an on state
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    or an off state these on off states can
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    be translated into binary code
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    a one or a zero which is how all of our
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    data currently exists
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    by switching between states billions of
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    times a second
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    these little transistors allow data to
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    be processed and manipulated
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    giving us the digital world of today
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    even in the late 1940s transistors held
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    a lot of promise
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    if enough of them could be packed into a
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    sufficiently small space
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    there was potential for some serious
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    computing power
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    this is what intel would eventually do
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    but for the time being there was still a
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    major
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    problem the problem was that these
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    transistors had to be connected by wires
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    these connections could only be so tiny
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    before the system becomes unreliable
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    the dream for scientists was to condense
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    a whole circuit
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    the transistors the wires and everything
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    they needed
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    into a single step a printed circuit
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    board
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    if they could create a miniature circuit
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    in one piece all the parts could be much
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    smaller
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    and also mass-produced the answer
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    was the integrated circuit the idea was
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    to use a chemical etching process
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    to create the transistor connections
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    instead of wires
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    the next step enables us to interconnect
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    the various components
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    and to make contact with them but
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    instead of another diffusion
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    a layer of metal is deposited over the
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    entire surface of the wafer
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    then by using the proper masks the
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    excess metal can be etched away
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    the group that came up with the
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    breakthrough of the integrated circuit
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    was also headed by william shockley the
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    same man in charge of the transistor
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    team
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    as novel as this idea was the technology
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    was impractical at the time
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    more on this later
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    william shockley was not the most
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    pleasant team leader
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    and he had a bad reputation these
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    conflicts that his personality had with
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    others
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    caused him to leave the east coast of
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    the us and travel west to start afresh
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    his latest endeavor would be humbly
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    named shockley semiconductor lab
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    despite his personality flaws he had an
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    eye for talent
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    and managed to recruit eight of the
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    greatest engineers and scientists the
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    united states had to offer
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    some of these recruits in shockley's lab
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    would go on to create intel
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    but before doing so they would first
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    create the most
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    significant company in technology
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    history a company forgotten by most
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    today
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    the way this came to be was an
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    interesting story within itself
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    eight members of shockley's
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    semiconductor lab just grew tired of his
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    erratic and paranoid nature
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    in fact some of you that have read my
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    book will know that william shockley got
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    jealous of his team's discovery of the
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    transistor and wanted to receive
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    all the credit despite not being
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    directly involved in it
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    these eight dissenting members of
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    shockley's lab were
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    sheldon roberts eugene kleiner victor
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    greenwich
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    j last julius blanc robert noyce
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    gordon moore and jean hoenrei they would
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    be given the nickname
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    the traitorous eight one day
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    in a san francisco hotel the group
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    gathered together
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    recognizing all of their talents and
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    despising william shockley
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    they hatched a plan together they all
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    pledged to sign a dollar bill
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    this represented their commitment to
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    starting a new company
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    this meeting at the san francisco hotel
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    would be later called
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    one of the top 10 days that changed
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    history by the new york times
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    the plan was to start a new company that
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    was to be under the reluctant leadership
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    of robert noyce
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    a brilliant mit researcher at first
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    noyce was hesitant to take on such an
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    ambitious project
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    as he had a young family startups like
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    this were a huge risk in the 1950s
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    but after some convincing noyce bit the
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    bullet and signed the dollar bill
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    and with that the traitorous 8 had a new
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    spin-off company
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    and its name was fairchild semiconductor
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    fairchild semiconductor was in essence
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    the origins of silicon valley
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    i personally find it amazing at how
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    influential this company was
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    fairchild semiconductor started silicon
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    valley in both technology and culture
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    the culture was like a college dormitory
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    for competitive geniuses
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    and staff were making big money
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    competing with each other
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    soon fairchild was on a meteoric rise
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    the company operated differently to
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    anything that had been seen before
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    risk over stability innovation over
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    tradition
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    rapid experimentation over slow and
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    steady growth
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    there was a lot of buzz in the media
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    about this new and exciting company
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    they were like the amazon apple or
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    google of their day
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    in both the stock market and technology
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    space
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    out of this company's talent came of
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    course intel
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    but also lsi logic sandisk
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    and advanced micro machines otherwise
  • 00:07:19
    known as
  • 00:07:19
    amd the latter would play a big role in
  • 00:07:22
    the second part of the story
  • 00:07:24
    it's interesting to note that by the
  • 00:07:26
    1980s
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    100 different companies had sprung from
  • 00:07:30
    the talent pool of fairchild
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    after securing financial backing the
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    group at fairchild would come together
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    to produce the first
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    practical integrated circuit by using a
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    silicon semiconductor
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    the invention for the first time made it
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    practically
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    possible to tightly pack transistors
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    together but also
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    allow them to function independently
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    despite being made from a single piece
  • 00:07:53
    steve jobs in 2005 would say that
  • 00:07:56
    silicon valley is a bit like running a
  • 00:07:57
    relay race
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    and fairchild semiconductors were the
  • 00:08:00
    ones that passed the baton to him
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    to bring in the era of personal
  • 00:08:04
    computing to this day
  • 00:08:06
    fairchild remains important in samsung's
  • 00:08:08
    supply chain
  • 00:08:13
    so fairchild semiconductor had invented
  • 00:08:15
    the practical integrated circuit
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    and birthed silicon valley culture they
  • 00:08:19
    were flying high
  • 00:08:20
    and well ahead of established tech
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    titans like ibm and motorola
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    but as time went on staff began to leave
  • 00:08:27
    fairchild in pursuit of other endeavors
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    companies like texas instruments and
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    motorola started catching up
  • 00:08:34
    robert noyce realized that he needed to
  • 00:08:36
    start something new
  • 00:08:38
    in 1968 he and his fellow employee
  • 00:08:40
    gordon moore
  • 00:08:41
    began a new project to make memory chip
  • 00:08:43
    devices these were to compete with
  • 00:08:45
    magnetic hard drives
  • 00:08:47
    noise and more status in the industry
  • 00:08:49
    coupled with the rise of venture
  • 00:08:51
    capitalists
  • 00:08:51
    resulted in 2.5 million dollars being
  • 00:08:54
    raised in under two days for their new
  • 00:08:55
    project
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    the pair of them picked the best and
  • 00:08:58
    brightest minds to join the new company
  • 00:09:01
    among these was andy grove a
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    hungarian-born chemical engineer
  • 00:09:05
    that joined fairchild's r d division in
  • 00:09:07
    1963
  • 00:09:08
    his role was director of operations
  • 00:09:11
    former employees would state
  • 00:09:12
    that hiring andy was the best decision
  • 00:09:14
    noes ever made
  • 00:09:16
    he was a driven man who wanted
  • 00:09:18
    everything to be well done
  • 00:09:20
    and done on time neither noise nor more
  • 00:09:23
    were stern enough to crack the whip
  • 00:09:26
    together they called their new company
  • 00:09:29
    intel
  • 00:09:29
    an abbreviation of integrated
  • 00:09:32
    electronics which also happened to
  • 00:09:33
    conjure the word intelligence
  • 00:09:36
    it didn't garner a lot of attention from
  • 00:09:37
    the media at the time but within silicon
  • 00:09:39
    valley there was a great deal of
  • 00:09:41
    excitement
  • 00:09:44
    as intel engineers continued to tinker
  • 00:09:46
    with the design of their memory chip
  • 00:09:48
    they decided that they should take on
  • 00:09:49
    some custom work to make some revenue to
  • 00:09:51
    further build up the business
  • 00:09:54
    in the spring of 1969 a simple request
  • 00:09:57
    came into the intel building altering
  • 00:09:59
    the course of computer history
  • 00:10:04
    in 1969 a japanese firm busycom
  • 00:10:07
    contracted intel to design 12
  • 00:10:10
    specialized microchips for its new
  • 00:10:11
    calculator
  • 00:10:13
    unfortunately what busycom wanted was
  • 00:10:15
    going to be way too complicated and
  • 00:10:17
    expensive for intel to produce
  • 00:10:19
    a young engineer named ted hoff was in
  • 00:10:22
    charge of designing the architecture and
  • 00:10:24
    he raised his concerns
  • 00:10:25
    he thought intel had bitten off more
  • 00:10:27
    than they could chew
  • 00:10:29
    when hoff voiced his concerns to robert
  • 00:10:31
    noyce noyce replied
  • 00:10:33
    if you can think of a simpler design you
  • 00:10:35
    should pursue it
  • 00:10:36
    noyce always encouraged the people in
  • 00:10:38
    this lab to run with their ideas and see
  • 00:10:40
    where they went
  • 00:10:43
    this next part was the genius of a true
  • 00:10:45
    inventor you see
  • 00:10:47
    ted hoff envisioned a single chip that
  • 00:10:49
    could be programmed for a specific
  • 00:10:50
    application
  • 00:10:51
    in this instance it would function like
  • 00:10:53
    a calculator but it could be programmed
  • 00:10:55
    to do anything
  • 00:10:56
    the normal thing to do in the 1960s was
  • 00:10:58
    to build custom circuit chip boards
  • 00:11:00
    for each application in this new
  • 00:11:03
    architecture of hofs
  • 00:11:05
    the memory calculating processing
  • 00:11:07
    functions and other aspects of a
  • 00:11:08
    computer
  • 00:11:09
    could be combined into one integrated
  • 00:11:11
    circuit in this case the 12 chips could
  • 00:11:13
    just be one
  • 00:11:15
    a unit which could run all programs on
  • 00:11:17
    its own a system
  • 00:11:18
    called a cpu when the design of this new
  • 00:11:22
    type of architecture was done
  • 00:11:24
    they needed someone who could put it all
  • 00:11:25
    into silicon thus
  • 00:11:27
    another talented chip designer federico
  • 00:11:29
    fagin
  • 00:11:30
    was brought in to oversee the
  • 00:11:31
    implementation
  • 00:11:33
    he arrived at intel in april of 1970 and
  • 00:11:36
    brought his own experience to bear on
  • 00:11:38
    the project
  • 00:11:39
    federico fagin was also from fairchild
  • 00:11:42
    and he had invented
  • 00:11:43
    silicon gate technology a fundamental
  • 00:11:45
    building block for the microprocessor
  • 00:11:48
    fairchild wasn't taking advantage of his
  • 00:11:50
    invention and he wanted to use his new
  • 00:11:52
    technology to design advanced chips
  • 00:11:55
    he was brought to intel six months late
  • 00:11:57
    for the project because the company was
  • 00:11:58
    running behind
  • 00:12:00
    the very next day after he was hired
  • 00:12:02
    japanese management from busycom
  • 00:12:04
    was due to visit and it didn't go well
  • 00:12:07
    when the day that i joined intel stein
  • 00:12:09
    mazer
  • 00:12:10
    showed me a block diagram that was to be
  • 00:12:12
    the
  • 00:12:13
    busycom project so shima arrived he said
  • 00:12:16
    where
  • 00:12:17
    i'm here to check where is logic and i
  • 00:12:20
    said uh oh
  • 00:12:22
    i gave him the what i was given you know
  • 00:12:24
    this block diagram and this stuff
  • 00:12:26
    and he said no good this is i had this
  • 00:12:30
    this only idea i want logic and i said i
  • 00:12:33
    don't have any logic
  • 00:12:34
    you bad you bad
  • 00:12:38
    i said i just arrived here i just i just
  • 00:12:41
    was hired yesterday
  • 00:12:43
    you late
  • 00:12:46
    and so i was i was buffal
  • 00:12:49
    and of course at that point there were a
  • 00:12:52
    number of very agitated phone calls
  • 00:12:54
    and i could tell by the tone of the
  • 00:12:56
    conversation but they were not
  • 00:12:58
    very gentle phone calls and uh
  • 00:13:01
    and basically in the meantime i tried
  • 00:13:03
    very hard
  • 00:13:04
    to figure out a time schedule that would
  • 00:13:07
    really minimize the delay that was
  • 00:13:09
    incurred by intel
  • 00:13:11
    but to do that i needed an engineer to
  • 00:13:13
    help me and also adequate layout and
  • 00:13:15
    technician support
  • 00:13:16
    i was by myself i had no engineers no
  • 00:13:19
    layout people
  • 00:13:20
    that's it i had to do it by myself
  • 00:13:22
    federico
  • 00:13:23
    basically had to do everything himself
  • 00:13:25
    and just figure it out
  • 00:13:28
    despite the odds in february of the
  • 00:13:30
    following year working kits were
  • 00:13:32
    delivered to the clients
  • 00:13:33
    and in november of that year the intel
  • 00:13:35
    404
  • 00:13:36
    made its debut on the market and the
  • 00:13:37
    error of the cpu microprocessor had
  • 00:13:40
    begun
  • 00:13:41
    the whole team's efforts had led to the
  • 00:13:43
    world's first cpu
  • 00:13:45
    essentially a whole general purpose
  • 00:13:46
    computer on a chip
  • 00:13:50
    ted hof convinced management that they
  • 00:13:52
    should sell this general purpose chip as
  • 00:13:54
    a standalone product
  • 00:13:56
    the result was the intel 4004 cpu
  • 00:14:00
    it had more than 2 000 transistors and
  • 00:14:02
    the device was advertised as a
  • 00:14:04
    quote computer on a chip
  • 00:14:07
    at 3.2 by 4.2 millimeters the chip that
  • 00:14:10
    the intel team had unveiled had as much
  • 00:14:12
    power as one of the first electronic
  • 00:14:14
    computers the eniac of the 1940s used 18
  • 00:14:18
    000 vacuum tubes and was so large it
  • 00:14:20
    filled an entire room
  • 00:14:23
    though computers had gotten smaller
  • 00:14:24
    since those days what intel had done was
  • 00:14:27
    still a giant leap above what was
  • 00:14:28
    available at the time
  • 00:14:30
    the intel 4004 chip took a current day
  • 00:14:33
    1969 computer that was the size of a
  • 00:14:35
    refrigerator
  • 00:14:36
    and shrunk it down to fit onto a
  • 00:14:38
    fingertip
  • 00:14:40
    to give even more perspective the ibm
  • 00:14:42
    1620
  • 00:14:43
    cost 2 500 a month to rent and had the
  • 00:14:46
    same performance as the intel 4004
  • 00:14:49
    chip which cost just 60 dollars
  • 00:14:52
    in this moment the digital revolution
  • 00:14:54
    had officially begun
  • 00:14:56
    [Music]
  • 00:14:57
    amazingly some still had reservations
  • 00:15:01
    when the 4004 cpu was unveiled people
  • 00:15:04
    couldn't believe it
  • 00:15:05
    ted hoff would recall one such
  • 00:15:07
    interaction at a computing conference in
  • 00:15:09
    las vegas 1971.
  • 00:15:11
    quote one customer who came in was
  • 00:15:14
    adamant that we had such
  • 00:15:15
    nerve to claim that we had a computer on
  • 00:15:17
    a chip one of our engineers handed him
  • 00:15:20
    the data sheet
  • 00:15:21
    and he looked at it and exclaimed oh my
  • 00:15:23
    god
  • 00:15:24
    it really is a computer it was something
  • 00:15:26
    that people did not believe was possible
  • 00:15:28
    at the time
  • 00:15:29
    [Music]
  • 00:15:31
    it's also important to note that
  • 00:15:33
    personal computers didn't exist
  • 00:15:34
    it was assumed that there will be no
  • 00:15:36
    consumer market for it
  • 00:15:38
    ken oslon chairman of digital equipment
  • 00:15:41
    corporation
  • 00:15:42
    famously remarked in the sunday times
  • 00:15:44
    quote there is no reason
  • 00:15:46
    anyone would want a computer in their
  • 00:15:47
    home obviously
  • 00:15:49
    this was wrong a slightly later version
  • 00:15:52
    of the chip
  • 00:15:53
    the intel 8080 would be at the heart of
  • 00:15:55
    the first
  • 00:15:56
    widespread personal computer it was in
  • 00:15:59
    the form of a kit
  • 00:16:00
    built by the company mit this
  • 00:16:02
    intel-powered computer
  • 00:16:03
    was the very same that was on the front
  • 00:16:05
    of a magazine that bill gates was shown
  • 00:16:07
    kicking off microsoft and the very same
  • 00:16:09
    computer that some californian hippies
  • 00:16:11
    would show off to their friends at the
  • 00:16:12
    homebrew computer club
  • 00:16:14
    kicking off apple computer
  • 00:16:18
    before we continue let's check out a
  • 00:16:20
    quick news report from our sponsor
  • 00:16:21
    morningbrew
  • 00:16:22
    intel's industry competitiveness has
  • 00:16:24
    been so poor that it was announced last
  • 00:16:27
    wednesday that its ceo
  • 00:16:28
    bob swann will be stepping down as of
  • 00:16:30
    the 15th of february
  • 00:16:32
    he'll be replaced by vmware's ceo pat
  • 00:16:35
    gelsinger
  • 00:16:36
    the news for intel comes after more chip
  • 00:16:38
    delays competition from amd
  • 00:16:40
    samsung and also apple breaking ties
  • 00:16:43
    with them after 15 years
  • 00:16:45
    intel has been accused of quote failed
  • 00:16:48
    leadership by investors
  • 00:16:50
    if you're short on time and want to get
  • 00:16:52
    all of the news in business and
  • 00:16:53
    technology
  • 00:16:54
    morning brew is a great way to do that
  • 00:16:56
    morning brew makes the latest news fun
  • 00:16:58
    and easy
  • 00:16:59
    you can get up to date with all the
  • 00:17:00
    latest breaking news in just five
  • 00:17:02
    minutes
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    all in one place without having to
  • 00:17:04
    trundle through different news sources
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    it's delivered to your email inbox each
  • 00:17:08
    weekday and saturday
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    click the link below to subscribe to
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    morning brew today it takes just 15
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    seconds to sign up
  • 00:17:17
    intel would go on to be a massive player
  • 00:17:19
    in the 1980s but surprisingly
  • 00:17:21
    they weren't the leader by 1985 their
  • 00:17:24
    sales were slipping and they were
  • 00:17:26
    suffering huge losses and expensive
  • 00:17:27
    development costs
  • 00:17:29
    by this time motorola had caught up and
  • 00:17:31
    was making the best performing chips at
  • 00:17:33
    the time
  • 00:17:34
    the motorola 68000 chip proved popular
  • 00:17:37
    and was being used in graphical
  • 00:17:38
    computers like the mac
  • 00:17:40
    commodore amiga and atari st it would
  • 00:17:43
    take the intel 386 to change all of that
  • 00:17:50
    the 386 processors from intel
  • 00:17:52
    transformed the industry
  • 00:17:54
    in the mid-80s the chip manufacturing
  • 00:17:57
    industry convention was that when a
  • 00:17:59
    computer vendor purchased cpus
  • 00:18:01
    they would require a second source for
  • 00:18:03
    the chip a legacy business move from
  • 00:18:05
    military contractors who needed a
  • 00:18:07
    reliable supply
  • 00:18:08
    in effect for intel or anyone to sell
  • 00:18:11
    their chips
  • 00:18:12
    they would agree to enable a competitor
  • 00:18:14
    to license their technology
  • 00:18:15
    so surprisingly in the very early days
  • 00:18:18
    intel
  • 00:18:19
    actually helped set up other companies
  • 00:18:21
    like amd and fujitsu as secondary
  • 00:18:23
    sources for compatible chips
  • 00:18:25
    in fact amd began life as a secondary
  • 00:18:28
    source supplier for companies
  • 00:18:30
    using intel technology this all changed
  • 00:18:33
    with intel's 386
  • 00:18:35
    it was a very very risky move for the
  • 00:18:37
    company it took four years of
  • 00:18:39
    development and cost 100 million dollars
  • 00:18:41
    but intel decided not to license the
  • 00:18:44
    technology to competitors
  • 00:18:46
    ibm intel's biggest client at the time
  • 00:18:48
    wasn't interested in the 386 for this
  • 00:18:50
    reason
  • 00:18:51
    but compaq decided to go all in and
  • 00:18:54
    became the first computer company to use
  • 00:18:55
    the new processor
  • 00:18:57
    the early success of the compact 386 pc
  • 00:19:00
    played an important role in legitimizing
  • 00:19:02
    the pc clone industry and de-emphasizing
  • 00:19:04
    ibm's role within it
  • 00:19:06
    by this point ibm never again had a
  • 00:19:10
    leadership position in pcs
  • 00:19:12
    and for intel the rest was history
  • 00:19:15
    by 1992 intel had 83 percent of the cpu
  • 00:19:19
    market
  • 00:19:20
    and more than one billion dollars in
  • 00:19:22
    annual profit
  • 00:19:24
    in 1993 intel would unveil the pentium
  • 00:19:27
    one
  • 00:19:27
    at a speed of 60 megahertz it was a
  • 00:19:29
    decent performer
  • 00:19:30
    this was followed by the pentium pro in
  • 00:19:32
    1995 the pentium 2
  • 00:19:34
    in 1997. pentium 3 in 1999
  • 00:19:38
    and pentium 4 in 2000 each generation
  • 00:19:41
    was faster than the previous
  • 00:19:43
    with ever smaller but more numerous
  • 00:19:45
    transistors
  • 00:19:47
    these chips were insanely popular and
  • 00:19:49
    thanks to some heavy marketing
  • 00:19:50
    the name pentium became synonymous with
  • 00:19:52
    pcs in the 90s and early 2000s
  • 00:19:55
    for intel it seemed like having their
  • 00:19:57
    manufacturing and chip design
  • 00:19:59
    all in the one place was really paying
  • 00:20:01
    off but this vertical integration would
  • 00:20:04
    later come back to give them grave
  • 00:20:05
    problems
  • 00:20:08
    there was a brief challenge to intel by
  • 00:20:10
    amd in the late 90s
  • 00:20:12
    but by 2012 amd had lost 1 billion in
  • 00:20:15
    that year alone and they had a net loss
  • 00:20:16
    of 7 billion
  • 00:20:18
    in the past 15 years previous
  • 00:20:21
    it would take a new ceo by the name of
  • 00:20:23
    lisa to start turning it all around in
  • 00:20:25
    2014.
  • 00:20:27
    an mit graduate and semiconductor
  • 00:20:29
    industry veteran
  • 00:20:30
    she had to make some bold bets to unseat
  • 00:20:33
    intel and some of these bets
  • 00:20:35
    wouldn't begin to pay off for another
  • 00:20:36
    five years but for now
  • 00:20:39
    intel was still the undisputed king
  • 00:20:43
    today the microprocessor market is a
  • 00:20:46
    multi-billion dollar industry
  • 00:20:48
    intel is still currently the largest cpu
  • 00:20:50
    manufacturer on the planet
  • 00:20:51
    and despite falling behind technically
  • 00:20:53
    in the last few years
  • 00:20:54
    the impact that they've had in the
  • 00:20:56
    computing industry is undeniable
  • 00:20:59
    from a group of eight rebels who decided
  • 00:21:01
    to revolt against their leader in the
  • 00:21:03
    1960s and start one of the greatest
  • 00:21:05
    technology companies ever known
  • 00:21:07
    to a few of those members starting intel
  • 00:21:09
    and deciding to think differently when
  • 00:21:11
    it came to building chips for a japanese
  • 00:21:13
    client
  • 00:21:13
    to eventually end up changing the world
  • 00:21:15
    and impacting all of our lives
  • 00:21:18
    it's a fascinating story when you think
  • 00:21:19
    about it
  • 00:21:23
    as for ted hoff he would leave intel in
  • 00:21:25
    the early 1980s to accept a position
  • 00:21:27
    with atari as vice president of
  • 00:21:29
    technology
  • 00:21:30
    robert noyce would leave intel in the
  • 00:21:32
    late 70s gordon moore would theorize
  • 00:21:34
    moore's law
  • 00:21:35
    which still holds true today at 92 years
  • 00:21:38
    old he currently enjoys fishing
  • 00:21:40
    federico fagen currently leads
  • 00:21:42
    philanthropic efforts
  • 00:21:44
    to promote the study of physics
  • 00:21:47
    pussycom would suffer financial trouble
  • 00:21:49
    and go out of business in 1974.
  • 00:21:53
    in the next installment of this series
  • 00:21:55
    we'll see how intel got complacent
  • 00:21:57
    missed the boat on mobile processing and
  • 00:21:59
    is now under threat by amd
  • 00:22:01
    and apple as we round out the episode
  • 00:22:05
    i'd like to thank you for watching a
  • 00:22:08
    large part of this episode was based on
  • 00:22:10
    a little bit of my book new thinking
  • 00:22:12
    i'll leave a link for it in the
  • 00:22:13
    description below it's a fascinating
  • 00:22:15
    read on the last 100 years of technology
  • 00:22:17
    and how it all links together if you did
  • 00:22:20
    enjoy today's story
  • 00:22:21
    be sure to subscribe to cold fusion i
  • 00:22:23
    don't have a large budget or a team like
  • 00:22:25
    many channels here on youtube
  • 00:22:27
    it's just me and an editor that helps
  • 00:22:29
    out from time to time
  • 00:22:31
    anyway my name is dagogo and you've been
  • 00:22:33
    watching cold fusion
  • 00:22:34
    next time we'll take a look at toyota's
  • 00:22:36
    new solid state battery that's to be
  • 00:22:38
    revealed later this year
  • 00:22:40
    until then cheers guys have a good one
  • 00:22:45
    [Music]
  • 00:22:48
    cold fusion it's me thinking
  • 00:22:56
    [Music]
  • 00:23:08
    you
Tags
  • Intel
  • CPU
  • Fairchild Semiconductor
  • Technology History
  • Silicon Valley
  • AMD
  • Innovation
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