Featured Articles

Nvidia GTX 980 reviewed

Nvidia GTX 980 reviewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
Nvidia adjusts GTX 980 and GTX 970 pricing

Nvidia adjusts GTX 980 and GTX 970 pricing

It appears that Nvidia has been feeling the pulse of the market and took some note from comments regarding the original…

More...
iPhone 6 and 6 Plus reviews are up and they are good

iPhone 6 and 6 Plus reviews are up and they are good

Apple is dancing the same dance year after year. It releases the iPhone and two days before they start shipping it…

More...
Amazon announces three new tablets

Amazon announces three new tablets

Amazon has just released three new tablets starting with the $99 priced 6-inch Kindle Fire HD6. This is a 6-inch tablet…

More...
PowerColor TurboDuo R9 285 reviewed

PowerColor TurboDuo R9 285 reviewed

Today we will take a look at the PowerColor TurboDuo Radeon R9 285. The card is based on AMD’s new…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Friday, 18 January 2013 10:47

Intel’s profit down 27% as PC market falters

Written by Peter Scott



Revenue falls 3%


Need more proof that the PC market is in trouble? Bellwether Intel has posted some rather lackluster results, disappointing investors, but still managing to beat analyst forecasts.

In Q4 Intel saw its profit fall 27 percent, while revenues fell 3 percent, from $13.5 billion, down from $13.9 billion. The weak PC market is to blame for the weak results and analysts estimate PC shipments declined 3.5 percent in 2012.

Intel is not out of the woods yet. It estimates its first-quarter revenue at $12.7 billion, plus or minus $500 million. Analysts expected $12.9 billion. What’s more, Intel plans to increase capital spending to $13 billion, exceeding analyst expectations by $3 billion. Analysts are now expressing fears that high capital expenditures could increase Intel’s fixed costs and drive down margins.

Intel is hoping that pouring more money into manufacturing, namely into 450mm development, will give the company a significant cost advantage in the long run. However, 450mm plants are still years away. In the meantime Intel will have to work out what it wants to do in the mobile market. It is still struggling to gain a foothold in the mobile market, dominated by ARM chips from the likes of Qualcomm, Samsung, Apple and Nvidia.

Peter Scott

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments