Intel's CPU sales fall, along with prices

By Justin Mann on June 6, 2006, 1:03 PM
The numbers aren't looking good for Intel's processor sales right now, with figures showing a volumes falling 21% and prices falling 40% over the past year. In the midst of a pricing war with AMD (although you can't always tell by looking at the cost of some CPUs), some are predicting that Intel will post a “profit warning”, as a result of both the lower costs of CPUs in the market and the lower sales, which dipped to as low as 52% of how much was sold last year in Q2.

Intel wasn't the only one affected, and AMD also took a hit in PC sales, but analysts are thinking AMD will hold steady rather than declining. Of course for Intel, they have the financial backing to engage in a price war and sell their CPUs below cost for quite a while. Interestingly enough, the decline in sales of CPUs in April was seen worldwide – except in Japan, which saw a rise in sales.

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