Intel continued its topsy-turvy 2020 by reporting stronger demand for its Tiger Lake CPUs than the corporate initially anticipated, even with a rise in its manufacturing capability. Nevertheless, the corporate’s earnings and revenues declined.
Intel stated that the corporate now expects 100 notebooks based mostly upon the 11th-gen Tiger Lake processor will ship by the tip of the yr, with about 150 in all if 2021 is included. These 100 Tiger Lake notebooks doubled Intel’s authentic April expectations, executives stated. About 40 of these notebooks will likely be certified below the new Evo brand, the evolution of the “Challenge Athena” program.
Intel additionally stated that it now has three 10nm manufacturing fabs up and working, and that the corporate anticipated to ship 30 p.c extra chips on the 10nm manufacturing node than initially anticipated.
“Tiger Lake is exceeding expectations,” George Davis, Intel’s chief monetary officer, stated.
Intel nonetheless recorded decrease earnings and income than a yr in the past. Third-quarter 2020 earnings slid 29 p.c to $4.3 billion, and income was down 4 p.c to $18.3 billion. Intel executives had beforehand defined that they continued to count on greater earnings and income within the first half of the yr versus the second, according to the results of the pandemic.
“2020 has been essentially the most difficult yr in my profession,” chief govt Bob Swan stated throughout a convention name with analysts,
As customers continued to make money working from home, pocket book PC income soared, up 16 p.c in comparison with a yr in the past. Desktop income fell by the identical quantity. In complete, PC volumes climbed by 11 p.c, and the corporate’s Consumer Computing Group income elevated by simply 1 p.c to $9.8 billion.
Intel stated that it had begun to ship its “DG2” discrete graphics chip for PCs, which coincides with Acer’s disclosure that the Swift 3x would include the chip. The corporate can be sampling Alder Lake, the next “hybrid” core that can succeed its Lakefield chip, for delivery in 2021, executives stated.
Intel’s Knowledge Middle Group income fell by 7 p.c to $5.9 billion. Cloud income elevated 15 p.c, however gross sales to the enterprise and authorities sector fell by a whopping 47 p.c because the market started to “digest” current purchases, Intel executives stated.
Intel executives didn’t spend a lot time speaking about SK Hynix, which stated it intends to purchase Intel’s flash and SSD enterprise in a $9 billion deal that can take a number of years to finish. Davis described Intel’s flash enterprise as a “non-strategic asset” that Intel was promoting to deal with extra core alternatives forward.