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News

22 October 2012

Intel sales sink as PCs slump

Weak PC sales finally caught up to Intel, dragging the chipmaking giant's sales and profits lower in the third quarter.

Back-to-school sales typically boost computer demand in the late summer, but a weakening global economy and consumers' shift to tablets cut PC demand to half its third-quarter norm, Intel said. The company's PC chip sales fell by 8% last quarter, in-line with the overall global PC market.

For the current quarter, Intel doesn't expect any improvement, anticipating that PC sales will grow at half their seasonal rate. Computer makers are taking a very cautious approach with their inventories as the global economy continues to slump. They are also taking a wait-and-see approach to Microsoft's Windows 8 launch, which will take place on Oct. 26.

http://money.cnn.com/



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