Intel has pulled back its third quarter revenue guidance, pointing to a slowdown in chip and flash memory sales as reasons for the move.

Intel is now looking for third quarter revenue to come in between $8.3bn and $8.6bn. The chipmaker has previously advised analysts and investors that revenue for the period would be between $8.6bn and $9.2bn. Intel regularly provides mid-quarter updates on its business but is more accustomed to holding guidance steady or even raising forecasts.

A number of analysts expected Intel to trim its third quarter outlook. SG Cowen Securities pointed to poor notebook sales as one reason for the move. The firm also noted that Intel had been reducing chip prices to get rid of excess inventory.

Intel has been suffering from large scale problems with its chip manufacturing, which have triggered a number of product delays. The company is also facing increasing competition from AMD in the server processor market. ®

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