intel’s approach to innovation differs substantially from that of
IBM and provides a second example of how companies can pursue
innovation opportunities in an environment of abundant knowledge. It
also shows additional creative ways that companies can continue to
profit from innovation, even when they don’t own many of the underlying
technologies they use. Like Xerox PARC, Intel operates smack in
the middle of Silicon Valley, with all the erosion factors that diffused
technologies out of PARC. Unlike Xerox, however, Intel exploits the reality
of being surrounded by so much knowledge and venture capital.
Intel creates programs to bring external technology inside and implements
an aggressive program of investing corporate VC in start-up
companies to extend Intel’s markets.