Bay Trail tablets are quite cheap because Intel is pitching in with the cost

Jan 20, 2014 12:52 GMT  ·  By

As I previously told you, Intel has some pretty ambitious intentions for the year to come. The chip giant plans to increase the adoption of its chips into 40 million tablets, four times the number it had in 2013.

And to be successful in its endeavor, the chip maker obviously has to come up with a competitive strategy. So Intel is actually helping tablet makers build slates with Bay Trail chips and has offered to pay for their extra component costs (via Tablet-News).

Intel will even go as far as helping with engineering costs affiliated with design, so the chip maker will have to make serious investments this year.

Even major players like Samsung are expected to jump onboard of the Bay Trail bandwagon this year and on top of that Intel is set to unleash the first batch of Android devices with such chips, which will be very budget-friendly (due to the outlined strategy).

Intel will be using the force of raw cash to woe manufacturing companies from the budget-friendly ARM chip design, but at what cost?

The chip maker is probably currently losing money, but by the time the subsidizing campaign stops, Intel hopes that producing costs will be lower and retail prices won’t be on the rise.