Feeds

Intel overcomes 'weak' line-up during Q2

Asia and laptops boom, US and servers bumble

  • alert
  • submit to reddit

Combat fraud and increase customer satisfaction

Intel proved once again that it's more regular than a Metamucil salesman by knocking out a solid second quarter.

Intel watched Q2 revenue jump 15 per cent to $9.2bn - a company record for the period. Net income surged as well to $2bn - a 16 per cent year-over-year increase. As has been the case of late, strong mobile processor sales did much of the hard work for Intel.

"Momentum from the first half appears to be continuing as we enter the third quarter," said ebullient CFO Andy Bryant, during a conference call.

Intel made large gains in Asia during the quarter with revenue jumping 28 per cent year-over-year. European revenue also surged nine per cent, while sales in the US dropped five per cent.

The presence of AMD was felt in the period with Intel's Digital Enterprise Group (DEG) processor revenue falling to $4.60bn from $4.68bn one year earlier. Intel admitted that its server processor line-up was not what it should be. AMD managed to beat Intel to market with a 64-bit x86 processor and now has a dual-core server chip first. The technology lead let AMD secure customers such as HP, IBM and Sun Microsystems, while Dell remains loyal to Mother Intel.

"We had a fairly weak product line in 2004," said CEO Paul Otellini. "I think we have done a good job of holding our business through a difficult competitive climate."

That rare admission of defeat comes as Intel faces an antitrust lawsuit from AMD, alleging that Intel used unfair sales tactics to keep its business.

"Intel competes aggressively and fairly around the world," Otellini said. "This formula has led to Intel's success and will not change."

Intel enjoyed a rise in motherboard and chipset revenue and a major jump in mobile processor revenue. Flash memory sales, however, fell.

Third quarter revenue should come in between $9.6bn and $10.2bn, Intel said. ®

Related stories

Apple bounces back into US PC vendor top four
DoD picks Opteron as weapon of mass simulation
Intel slaps 'wide load' tag on new Itanium
EC raids Dell in Intel anti-trust probe
Oracle processor core pricing a comedy of fractions
Date set for Intel's response to AMD antitrust claims

3 Big data security analytics techniques

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.