The embedded market is undergoing a fundamental shift that requires developers to rethink how they measure success. While traditional design targets like cost and reliability remain important, a new set of requirements has arisen thanks to Internet connectivity, escalating customer expectations, and tougher competition. Success in this brave new world requires close attention to eight key capabilities: security, virtualization, connectivity, manageability, energy efficiency, sensing and analytics, workload consolidation, and interoperability. This paper shows how designers can address each of these critical capabilities through solutions from Intel and the Intel Embedded Alliance.