The bulk of microprocessor giant Intel’s (NASDAQ: INTC) Data Center Group (DCG) revenue comes from the sale of its Xeon family of general purpose processors. With each generation, these chips become both more powerful and more power-efficient.
Ultimately, Intel hopes that those improvements in performance and power efficiency lead to a compelling enough reduction in the total cost of ownership for its major customers that they are compelled to upgrade to the company’s latest chips.