This story highlights an unusual reversal of fortune wherein AMD has overtaken Intel in terms of brand value – a dramatic shift given Intel’s historically dominant position. Intel, under the guidance of then-CEO Andy Grove and CMO Dennis Carter, became renowned for innovative marketing campaigns like the Bunny People, significantly boosting its brand presence. Despite these efforts, a lack of effective training for his team by Carter contributed to a decline in Intel’s brand strength over the years.

According to the recent Kantar Brandz report, which ranks the world’s most valuable companies, AMD now ranks 41st, surpassing Intel which stands at 48th. Apple and Nvidia have claimed the top spots. This narrative explores the implications of AMD’s rise and Intel’s decline for the companies themselves and the broader PC and server industry, highlighting potential threats posed by this shift.

The discussion concludes with a nod to the Hyundai Ioniq 5 N electric SUV, labeled as the Product of the Week. This vehicle promises high performance and enjoyment at a more affordable price point compared to its luxurious contemporaries, potentially standing as the fastest fast hatch available today.

Lastly, the enduring importance of Intel’s marketing is exemplified by the ‘Intel Inside’ program, famously managed by my wife and recognized as one of Intel’s key branding triumphs, underscoring the long-term impact of strong brand assets.

Most people are unaware of the manufacturers behind the processors in their home appliances, electric vehicles, or the batteries in those EVs, yet the quality of these batteries is crucial. Tesla owners might be surprised to learn their batteries are manufactured by Panasonic, a fact Tesla openly shares.

This acknowledgment did not come easily but was the result of considerable efforts by Dennis Carter throughout the 1990s. Unlike Apple, which flourished under Steve Jobs’ dedication to marketing, many technology firms skimp on marketing budgets and mistakenly assign engineers as Chief Marketing Officers, despite their lack of marketing prowess.

For Intel, robust marketing was incredibly advantageous, connecting directly with brand perception and market consideration. Apple’s reputation as the top brand aligns with its market success, though McDonald’s position at fifth place contrasts with its current financial struggles, showcasing an exception in the correlation between brand value and financial performance.

This discussion brings to mind a tale my grandfather shared during my childhood about William Wrigley Jr., the founder of the Wrigley company. On an early 1900s steam engine train journey, Wrigley, then a leader in the confectionery industry, was accompanied by a young assistant who believed his recent educational achievements made him knowledgeable.

In a moment of curiosity, an employee questioned Wrigley on his considerable expenditure on advertisements despite leading the market. Wrigley countered with an analogy, asking, Considering the train is moving at about 60 mph, why do you think they keep shoveling coal into the engine?

Wrigley’s analogy highlighted that marketing is essential not only to reach the top but also to stay there.

AMD might not be renowned for its marketing prowess, yet under CEO Lisa Su’s direction, the company excels in implementation. Its offerings are reliable and have often surpassed expectations. Furthermore, AMD strategically acquires businesses to bridge the gap not just with Intel, but also Nvidia, targeting advancements in AI.

While historically not a leading brand, AMD’s consistent performance has enabled it to uphold and enhance its market position. Conversely, Intel’s brand suffered from inadequate investment and a diminished focus on its unique level of component marketing.

If you check the Kantar report mentioned, barring Nvidia which is closely associated with AI, the subsequent brand resembling an ingredient brand is Qualcomm, positioned at 40th, nearly equal with AMD in 41st place. Qualcomm edges ahead thanks to Snapdragon and its latest push to boost the recognition of its new PC products.

A key factor why many of these brands are positioned around the 40th rank is that market development funds (MDF) programs are currently ineffective.

Initially, these MDF programs distinctively provided funding to OEMs for promoting products that incorporated components from the MDF-contributing vendors. But over the years, OEMs began to utilize these funds to enhance their margins rather than for promoting the products, with little resistance from the vendors who provided these funds.

This misallocation has weakened the effectiveness of the programs. Despite Intel’s significant investment in these initiatives, more than any other vendor, the spending by vendors has not been as planned, leading to limited demand generation or brand consideration for Intel. Consequently, these funds have essentially turned into mere discounts for the receiving vendors, causing widespread failure of these programs.

Intel is actively improving and plays a central role in enhancing chip manufacturing capabilities in the U.S. However, to restore its renowned brand recognition, it might consider revisiting successful marketing strategies used in past campaigns like Intel Inside and Bunny People, initiated by Dennis Carter.

Often led by engineers lacking strong interpersonal skills, tech companies might overlook the human element crucial in marketing efforts. Marketing, akin to sales, heavily relies on understanding and engaging with people on a large scale.

Despite being the most vigorously promoted tech product of its time, Windows 95 demonstrated Microsoft’s misunderstanding of effective marketing. While the launch was a big hit, the company hesitated to replicate its approach due to the overwhelming burden it placed on support systems.

Rather than enhancing the support system to handle the surge, the decision was made to downsize the successful team behind Windows 95. This pattern recurred with the Xbox team, which likely contributed to the lackluster performance of subsequent products like the Microsoft Zune and Phone.

Following Dennis Carter’s departure from Intel, the subsequent Chief Marketing Officers dismantled the Bunny People and significantly devalued the Intel Inside brand. Their lack of understanding in how essential it is to nurture and uphold the substantial brand value that Intel previously held was evident. It is crucial for every C-level executive to be highly skilled in their specific area rather than being merely an engineer out of their element.

Dell has recently climbed to the 81st position in the Kantar Brandz report, underscoring an industry-wide lesson about the dangers of inadequate marketing. Other tech giants like Lenovo, HP, and HPE failed to make the list. The tech sector is not the only one affected by poor marketing; the highest-placed automaker in the rankings is Tesla at number 26, the lone American car maker in the top 100.

Unless there is a shift away from the trend of under-investing and under-staffing in marketing departments, companies with weak brand management will persist in experiencing sub-optimal financial results. Watching the Intel Inside brand decline to such a state is disheartening. One can only hope that Intel will find the necessary passion and focus to rejuvenate and elevate their brand back to its historic emblem of excellence.

Meanwhile, applause is due for Nvidia, Qualcomm, and AMD for their adept marketing strategies!

The 2025 Ioniq 5 N electrified sports vehicle

Recently, I encountered this stunning car at a drag race where the IONIQ 5 N was pitted against the Tesla Model 3 Performance. To my surprise, the Hyundai didn’t just outpace the Tesla, it also offered a noticeably more enjoyable driving experience.

In the past, I criticized Ford’s then CEO for not taking a leaf out of Tesla’s book regarding vehicle “fun” factor. I warned him it could cost him his position, and eventually, it did.

Priced just below $70,000, the Hyundai Ioniq boasts impressive specs, including up to 641 horsepower. It features a drift optimizer that really delivers, a boost button, and it can sprint to 60 mph in just 3.25 seconds.

The primary limitation of the vehicle is its 220-mile range, which is adequate for city driving and racing but insufficient for longer journeys. The car enhances driving pleasure with its artificial engine noises and simulated gear shifts, and its swift hatchback configuration offers more practicality than many other performance vehicles.

CarWow competed the Ioniq 5 N against a $300,000 Lamborghini Aventador SV. Although the Lamborghini won narrowly, it is nearly 5 times pricier than the Hyundai. Despite being at a disadvantage, the Hyundai fared impressively in other contests, challenging various high-performance vehicles effectively (the Porsche GT3 driver notably struggled).

My personal favorite remains the Audi E-Tron GT. While it lacks opportunities for drag racing, it achieves 0 to 60 in 3.6 seconds (the newer model further reduces this to 2.9 seconds), suggesting that it would likely lag behind the Hyundai. Presently, the Hyundai Ioniq 5 N stands out as the top fun-to-drive electric car at an affordable price, redefining accomplishments in the electric vehicle market and earning it my “Product of the Week” title.

Perhaps Ford, GM, and Stellantis could emulate Hyundai’s model – a lesson they seemingly missed from Tesla: fun drives sales!

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