The chip recovery is under way, with quarterly sales forecast to increase year-over-year for the first time in 2009, according to a report from market researcher iSuppli on Tuesday.
Revenue from chip sales is expected to rise by 10.6 percent in the fourth quarter compared to the same period in 2008. This would mark the first time this year that revenue has risen compared to the same period a year earlier, according to Dale Ford, senior vice president, market intelligence, for iSuppli.
"The seeds of the current recovery were sown in the second quarter," said Ford. At … Read more
The decline in PC chip shipments may be slowing but Netbook processor deliveries were off 33 percent, while Advanced Micro Devices gained on Intel, IDC said.
In the first calendar quarter of 2009, worldwide PC microprocessor shipments fell 10.9 percent from the fourth quarter of 2008, compared with a 17 percent decline from the third quarter to the fourth quarter, according to IDC.
AMD gained on Intel in the first quarter. Intel garnered a 77.3 percent unit market share, a loss of 4.7 percent, while AMD had a 22.3 percent share, a gain of 4.6 … 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
Worldwide PC processor shipments fell sharply in the fourth quarter of 2008, though Intel's Atom chip bucked the trend, according to new data from IDC.
In the fourth quarter, processor unit shipments declined 17 percent quarter over quarter and 11.4 percent year over year, while market revenue declined 18 percent over the previous quarter and 22.2 percent compared to the year-earlier period to $6.78 billion, IDC said.
"The decline in PC processor unit shipments in the fourth quarter was the worst sequential decline since IDC started tracking processor shipments in 1996," said Shane Rau, … Read more
Correction, 2:44 p.m. PST: This story initially misstated the day Nvidia slashed its revenue guidance by up to 50 percent. It was January 13.
Nvidia posted a fourth-quarter loss of just under $148 million and a 60 percent drop in revenue as demand plummeted.
On Tuesday, the largest graphics chip supplier reported a loss of $147.7 million, or 27 cents a share, compared with a profit of $257 million, or 42 cents a share, in the year-earlier period.
The Santa Clara, Calif.-based company posted revenue of $481.1 million, down 60 percent from the $1.2 … Read more
Jon Peddie Research said Thursday that estimated graphics chip shipments in the fourth quarter plummeted 34 percent from the third quarter--a very atypical month-to-month decline.
"The fourth quarter is usually a positive quarter for the computer industry. There has obviously been some inventory problems in the quarter," said Jon Peddie, president of Tiburon Calif.-based research firm, in a statement.
And it will get worse. "We're...bracing for what will probably be the worst Q1 and Q2 decline we've seen since the Internet bubble pop of 2000," he warned.
Total shipments of GPUs for … Read more
Updated at 6:15 p.m. PST with AMD statement about a letter it received from Intel on January 20.
Advanced Micro Devices on Thursday reported a bigger-than-expected net loss of $1.4 billion for the fourth quarter of 2008. This is the chipmaker's ninth consecutive quarterly loss.
AMD also disclosed that it received a letter from Intel regarding the two companies' patent cross-licensing agreement.
The $1.42 billion loss, or $2.34 per share, was below the $1.77 billion loss, or $3.06 per share, reported a year ago but worse than Wall Street analysts had expected… Read more
Updated at 11 a.m. PST with additional information from analysts.
These are not ordinary times. Not for Advanced Micro Devices, which reports earnings on Thursday. Nor for Intel.
For starters, AMD said last week that it would slash its workforce by 9 percent and institute temporary salary cuts.
This comes as the company enters the final stages of bifurcating into AMD the product company, which designs chips, and The Foundry Company, which manufactures them. A measure taken to stave off collapse. (There are still a few more steps that have to be taken before the split is sanctioned by … Read more
Updated at 12:15 p.m. PST with information from iSuppli.
Nvidia is slashing fourth-quarter revenue guidance 40 percent to 50 percent. This comes on the heels of Intel's revision last week. Both companies are citing collapsing demand from customers.
"Total revenue for the fourth quarter of fiscal 2009 is now expected to decline 40 percent to 50 percent sequentially as a result of further weakness in end-user demand and inventory reductions by Nvidia's channel partners in the global PC supply chain," the largest graphics chip supplier said in a statement Tuesday.
This revises the fourth-quarter … Read more