Earnings

Intel CEO Paul Otellini commented on competition with Nvidia, the economy, and the possible fate of its flash memory factories on Wednesday at a tech conference in San Francisco.

Otellini began by speaking to the fact that the global economic downturn has depleted inventories of chips. "I don't think there's much inventory out there. It's hard to imagine that there's a significant drop below this." He made his remarks at the Goldman Sachs Technology and Internet Conference 2009, which was streamed live.

And moving quickly to the next generation of chip technology is critical … Read more

Micron Technology is cutting as many as 2,000 more jobs because of slumping demand for its products, as the shakeout in the memory chip business continues.

The largest U.S. maker of memory chips said Monday afternoon that decreased demand for specialty DRAM products has "created additional challenges" for its Boise, Idaho, manufacturing operations. As a result, Micron said it will phase out 200 millimeter (mm) wafer manufacturing operations at the company's Boise facility.

"This action will reduce employment at Micron's Idaho sites by approximately 500 employees in the near term and as many … Read more

Qimonda, an affiliate of Germany-based Infineon Technologies, is seeking protection under Chapter 11 for its U.S. unit, the company said Monday. Separately, a research report was released today forecasting dim prospects for chipmakers in 2009.

The U.S. unit of Qimonda AG, one of the world's largest memory chip manufacturers, said in a statement that it is seeking bankruptcy protection. "The US subsidiaries Qimonda North America Corp. and Qimonda Richmond L.L.C. filed for creditor protection under Chapter 11 on February 20, 2009," the company said in a statement Monday. "No disruptions to operations, … Read more

Updated at 12:20 p.m. PST with additional information about salary cuts.

Nvidia is buying up underwater stock options from employees and cutting salaries across the company amid a steep revenue falloff.

On Tuesday, the graphics chip supplier posted a fourth-quarter loss of just under $148 million and a 60 percent drop in revenue as demand for its graphics chips dried up.

"November fell off a cliff," said CEO Jen-Hsun Huang, addressing the decrease in demand, during an earnings conference call Tuesday. Chief Financial Officer Marvin Burkett added that "December was worse."

In the aftermath … Read more

Production isn't the only thing being scaled back at Intel because of the world economy. The world's largest chipmaker will cancel its developer conference in Taiwan this year and scale back the one in Beijing.

The Intel Developer Forum in Taiwan typically takes place in October, while China IDF is in April. The IDF in the United States in September will not be affected, Intel said Monday. The Beijing IDF will be shortened to a one-day event. It is typically two days.

Intel uses the IDF to launch many of its products and technologies.

"It's the … Read more

Intel said Thursday it is consolidating its manufacturing operations in China and moving 2,000 jobs out of Shanghai.

"We are consolidating our manufacturing operations in China consistent with actions we announced a couple of weeks ago," Intel spokesman Chuck Mulloy said Thursday.

Intel said on January 21 that it would close chip plants to align its manufacturing capacity to current market conditions. At that time, Intel said between 5,000 and 6,000 employees would be affected.

"Assembly and testing facilities will be closed in in Pudong outside of Shanghai. This will take place between now … Read more

SanDisk reported a net loss of $1.86 billion, as it takes steps to reduce output and conserve cash amid a collapsing flash memory chip market and weak consumer demand.

The flash memory chip supplier's fourth-quarter net loss was $1.86 billion, or a loss of $8.25 per share, compared to GAAP net income of $106 million, or 45 cents per share, in the same period last year. (GAAP stands for Generally Accepted Accounting Principles.)

Charges, including a combined pre-tax goodwill and intangible asset impairment charge of $1.02 billion, due to a sustained decline in SanDisk's … Read more

Applied Materials warned Monday of a first-quarter loss. One of the biggest charges cited was doubtful accounts, as customers failed to pay up.

The largest maker of chip production equipment said that it expects a net loss in the range of 9 cents to 11 cents per share for its first fiscal quarter, which ended January 25. It pointed to a restructuring charge of approximately $133 million (or 6 cents per share) associated with a cost reduction program announced on November 12, 2008, as the largest charge. At that time, Applied said it would cut 1,800 jobs, or about … Read more

Updated at 4:00 p.m. PST throughout

Texas Instruments posted a sharp drop in profit as it looks to cut 12 percent of its workforce.

TI's fourth-quarter profit fell 86 percent to $107 million, or 8 cents a share, from $756 million in the same period last year, or 54 cents a share. Excluding restructuring charges, TI had earnings of 21 cents a share, exceeding the 12 cents forecast by Wall Street analysts.

Revenue was $2.49 billion, down 30 percent, from $3.56 billion last year. The company also warned that revenue in the first quarter would … Read more