Intel has announced a significant rise in
profits for the three months to the end of June. The world’s largest
microchip manufacturer enjoyed record sales as net income rose to £798 million, a 25 per cent increase on the £638 million net income in the same quarter the previous year. The impressive figures were driven by the continued demand for
laptop PCs, despite a fear that the turbulent economic climate may have afflicted the global
PC market.
Intel President and Chief Executive, Paul Otellini, asserted that demand remains strong for Intel’s products. Otellini declared, ‘As we enter the second half, demand remains strong for our
microprocessor and chipset products in all segments and parts of the globe.’ With Intel the first major technology firm to announce its second quarter earnings figures, a streak of optimism has hit expectations ahead of
Microsoft,
IBM and Google’s announcements this week.
Intel’s impressive results came despite a hit to some of the company’s margins, which were harmed by the knock down prices for some of the best selling
laptops and
notebooks . Although Intel have relied on the blistering demand for laptops and notebooks, the continued price cuts on such products have eaten into Intel’s profit margins.