Intel To End PC Motherboards: Report

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NEW YORK (TheStreet) - As if the explosion in tablet computing isn't proof enough, Intel(INTC) has reportedly revealed plans to end production of PC motherboards.

The AnandTech Web site reports that Intel plans to end production of PC motherboards by the end of this year and ramp down that division's operations business over the next three years.

Intel will end research and production of new PC motherboards soon after the introduction of its upcoming "Haswell" design this year, according to the report. The Haswell boards, as well as all the other motherboards that Intel produces, will come with a full warranty.

Intel will continue designing and producing what it calls "Form Factor Reference Designs" (FFRDs) best known as the boards that go into new, lightweight, Ultrabooks that are currently being made by a number of manufacturers. Ultrabooks are the PC world's answer to Apple's(AAPL) Air notebook. FFRDs are also used in tablets computers,

Intel is also planning to continue producing desktop PC processors for third-party motherboard manufacturers such as Asus and Gigabite.

The report goes on to say that Intel plans no layoffs due to the closure. The No.1 chip maker will shift its PC motherboard employees into jobs in other company divisions.

Intel has not yet responded to TheStreet's request for comment on this story.

--Written by Gary Krakow in New York.

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