Oracle (ORCL) Latest to Abandon Intel's (INTC) Itanium

Oracle Corp. (NASDAQ:ORCL) announced today it will no longer work on software development on Intel Corp.'s (NASDAQ:INTC) Itanium microprocessor.

According to Oracle, after numerous conversations with Intel senior management, they felt Intel's strategic focus "is on their x86 microprocessor and that Itanium was nearing the end of its life."

Paul Otellini, president and CEO of Intel, refuted those conclusions, saying in a press release, “Intel’s work on Intel Itanium processors and platforms continues unabated with multiple generations of chips currently in development and on schedule. We remain firmly committed to delivering a competitive, multi-generational roadmap for HP-UX and other operating system customers that run the Itanium architecture.”

Oracle pointed out that RedHat and Microsoft (NASDAQ:MSFT) have both stopped developing software for Itanium as well. The company also noted that Leo Apotheker, chief executive officer of Palo Alto-based Hewlett-Packard Co. (NYSE:HPQ), "made no mention of Itanium in his long and detailed presentation on the future strategic direction of HP."

Oracle was trading at $31.55, gaining $0.42, or 1.37 percent, as of 1:52 PM EDT. Intel was trading at $20.23, up $0.08, or 0.42 percent.