It quickly emerged that Intel is also helping hardware makers release SoFIA-based tablets, with prices starting at $79.
Now it seems the chipmaker is offering a generous subsidy for each SoFIA product shipped.
$3 sometimes goes a long way
The subsidy in question, reported by Digitimes, amounts to $3, which might not sound like much. However, entry level tablet chips with four Cortex-A53 cores cost as little as $5.
Intel is also planning to bump up the subsidy in accordance with purchasing volumes. In other words, instead of buying an Allwinner chip for $5, vendors will be able to get an Intel chip for a fraction of the cost (or even free of charge in some situations).
Of course, the SoC is not the only component you need to put together a tablet or smartphone, but with entry-level tablet production costs estimated of less than $40, every penny counts – and $3+ is a big deal.
SoFIA reference tablet platforms
What is somewhat surprising is that Intel’s efforts appear to be focused on tablets. SoFIA 3G parts are capable of powering entry-level phones, but the first SoFIA devices hitting the market are cheap tablets rather than phones.
Rockchip is working with Intel to promote one such reference platform – a 7-inch 1024x600 tablet with Android 5.1, C3230RK processor, 8GB of storage and a 2,300mAh battery. If you choose to get a lot of 1,000-5,000 units, the price for such a tablet is about $45.
We already had a chance to see one SoFIA tablet, which is basically an oversized phone with a C3130 processor, priced at $69.
Where are Intel SoFIA phones?
So why aren’t there any SoFIA phones yet? Well, Intel and Rockchip already have a significant presence in the Chinese tablet industry, so it’s understandable that they would roll out the first products in a market segment they are familiar with. However, this does not mean we will not see SoFIA phones soon.
If Intel decides to subsidize smartphone processors, especially the 4G-enabled Atom x3-C3440, it should have no trouble securing design wins. Commoditised Android phones are big in China, India, and other emerging markets. Marketing $50 or $100 phones with 3G and 4G connectivity respectively should not be a problem, especially not with an “Intel Inside” sticker on the back.
The big question is how Intel plans to sweeten the deal. If a 3G tablet with a quad-core SoFIA C3230RK 3G processor costs as little as $45, a phone based on the same platform should cost just as much, or less if vendors choose to use cheap 4- to 4.5-inch WVGA panels. The C3440 with 4G could easily go after more serious designs in the $50-$100 range, with 720p displays and a few more goodies.