And that third pillar, Otellini believes, will be best implemented in silicon, not software.
Outgoing CEO Paul Otellini, among other executives, have typically hung caveats on the foundry idea.
The biggest: there are 2.8 billion smart devices out there right now, Otellini said.
With a retirement deal like that, why would Otellini even want to buy back his past?
"Doing this will require exponentially more powerful processors that require exponentially less power, " Otellini said.
The software and the applications seen were real, explained Otellini, but ran on several servers offstage.
Intel Chief Executive PaulOtelliniPaul Otellini has seen his company's future and decided its time for a makeover.
In addition to financial performance, Intel, under Otellini's leadership, achieved notable successes in areas of strategic importance.
ENGADGET: Intel CEO Paul Otellini to step down in May, leaves a legacy of x86 dominance
Intel Chief Executive PaulOtelliniPaul Otellini says megahertz and gigahertz is out, and "performance per watt" is in.
Otellini introduced several new chips at the conference, which he says will hit the market next year.
The Intel Otellini inherited from Craig Barrett in 2005 suffered from incoherent technical strategies and administrative bloat.
As previously announced, Otellini will step down as CEO and from the board of directors on May 16.
ENGADGET: Intel names current COO Brian Krzanich as new CEO, starts May 16th
Intel conducted a massive reorganization early in 2005, just before Otellini took over as the company's top executive.
While Intel Chief Executive PaulOtelliniPaul Otellini has grabbed market share, he's still fighting AMD--and sacrificing profits--to get it.
Otellini has been CEO since 2005 and during his tenure he increased revenue at the Santa Clara, Calif.
FORBES: Vikram Pandit, Brian Dunn Among 2012's Biggest CEO Exits
In April, Otellini set in motion the most extensive restructuring in two decades for Intel (See "Scorched Earth").
First, however, Intel Chief Executive Paul Otellini has to deliver on the plumper profit margins investors have been demanding.
The slumping earnings came largely thanks to well-known troubles in Intel's memory business, which Otellini has vowed to fix.
This year's keynote speakers include Microsoft Chairman BillGatesBill Gates, Comcast Chief Executive BrianRobertsBrian Robertsand Intel Chief Executive PaulOtelliniPaul Otellini.
The 62-year old Paul Otellini certainly chose a good time for his egress.
"I've been privileged to lead one of the world's greatest companies, " Otellini said.
ENGADGET: Intel CEO Paul Otellini to step down in May, leaves a legacy of x86 dominance
While Intel Chief Executive Paul Otellini has grabbed market share, he's still fighting AMD--and sacrificing profits--to get it.
"When we started this project, we didn't think it was possible, " Otellini says.
To demonstrate, Otellini showed off a mobile device on a set designed to look like a Beijing street corner.
The bullish view senses new urgency on the part of CEO Paul Otellini.
Otellini is a renaissance man, still young and healthy at 62, and loaded down with winnings from the Intel table.
If the Intel chips give the iPhone line a functional boost, Otellini could become a regular on the Apple stage.
Otellini then used it to serve up the PowerPoint slides during a presentation to Intel's sales force on Jan. 18.
When Otellini heard the news, he told his assistant to get one of the new processors in a pc, pronto.
Even Google, which has Intel Chief Executive Paul Otellini on its board, has been buying lots of servers with AMD chips.
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