Intel: People Are Buying More But Cheaper Laptops – IT Pro – News

Intel shipped 11 percent more processors for PCs in the quarter, and that growth is entirely attributable to laptop processors. Revenue from that rose, but Intel mainly supplied cheaper processors for entry-level and school laptops.

Intel’s Client Computing Group sales, which include sales of PC processors, increased in the third quarter of 2020 versus the same period last year increased by 1 percent to $ 9.8 billion, converted 8.29 billion euros. Notebook processor sales increased 16 percent; that of desktop processors decreased by 16 percent.

Intel delivered 11 percent more processors than in the third quarter last year, but that involved much cheaper processors in comparison. According to Intel, more entry-level laptops and models were sold for schools and there was a shift from business to consumer laptops and from desktops to laptops.

As a result, the average sales price of a supplied laptop processor was 7 percent lower than last year. The average sales price of a desktop processor, which is higher than that of a laptop processor, remained the same. That the laptop market is growing, research agencies found this month too. The increase in working from home in particular would be responsible for this.

Intel total quarterly sales were $ 18.3 billion, $ 0.9 billion lower than last year. The revenue of the Data Center Group fell by 7 percent, mainly due to a significant drop of 47 percent for revenue from the enterprise and government markets. These segments have resulted in significant growth in recent years and in the past two quarters revenue growth was also 30 percent. Intel says the sudden decline was caused by the corona crisis. Moreover, the data centers would also opt for cheaper chips: according to Intel, the average sales price even fell by 93 percent.

Finally, the turnover of the Internet of Things Group also fell by 33 percent to 677 million dollars. Intel sees the Internet of Things as a growth market, but the corona crisis would also have a negative impact on the results here. Despite the headwinds, Intel ultimately managed to achieve a quarterly profit of $ 4.3 billion, but that was less than the 6 billion dollar last year.

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