Intel faces tough times as it heads toward its April 24 earnings report. New CEO Lip-Bu Tan must deal with money problems at the computer chip maker. The company will likely show its fourth straight quarter of falling sales with a 3.4% revenue drop, Reuters reports. Losses may grow to about $945 million compared to $381 million last year. Both AMD and NVIDIA keep taking business from Intel in different markets.
The PC division might see an 11% sales decrease to $6.73 billion. The data center arm probably faces its twelfth straight quarter of declining numbers. Hendi Susanto from Gabelli Funds says investors need Tan to prove he can fix these problems. Tan has already cut more than 20% of workers at Intel. He also changed how leaders make choices to speed up decisions. The company must handle growing trade fights between America and China.
China threatens to impose heavy taxes of up to 85% on all American-made chips. It also wants sellers to have permits for high-end AI products sold to Chinese buyers. Intel might move production of its newest 3 nm chips from Arizona to Ireland late next year. PC makers could rush orders before these taxes start, which might help Intel briefly. Such a boost could affect nearly one-third of the company's total sales as customers try to beat the deadline.
The PC division might see an 11% sales decrease to $6.73 billion. The data center arm probably faces its twelfth straight quarter of declining numbers. Hendi Susanto from Gabelli Funds says investors need Tan to prove he can fix these problems. Tan has already cut more than 20% of workers at Intel. He also changed how leaders make choices to speed up decisions. The company must handle growing trade fights between America and China.
China threatens to impose heavy taxes of up to 85% on all American-made chips. It also wants sellers to have permits for high-end AI products sold to Chinese buyers. Intel might move production of its newest 3 nm chips from Arizona to Ireland late next year. PC makers could rush orders before these taxes start, which might help Intel briefly. Such a boost could affect nearly one-third of the company's total sales as customers try to beat the deadline.
