Intel posts record revenue of $12.8 billion, 29% profit boost

By on April 20, 2011, 8:00 AM
Intel has managed to pull yet another blockbuster quarter, with net income of $3.2 billion, up 29 percent over the same period last year, on revenue of $12.8 billion, up 25 percent year-over-year. The results surprised many investors, as well as Intel executives, who had projected more modest numbers after a much publicized chipset fiasco in late January, consolidation following two acquisitions and the effects of the Japanese earthquake on production.

During the first quarter Intel closed the acquisitions of Infineon Wireless Solutions and McAfee. Both acquisitions contributed $496 million to first quarter revenue, according to the chip giant. The fiscal first quarter also had one more week to it than usual, as the company realigned its fiscal year with the calendar year.

Intel says its PC client, data center, and "other" Intel architecture groups saw year-on-year growth of 17%, 32%, and 70%, respectively, while Atom CPU and chipset revenue climbed by 4% compared to last year, hitting $370 million.

The volume of Atom chips going into netbooks is pretty flat quarter after quarter and the company is the first to admit that this segment is the most vulnerable to tablet cannibalization. Although Intel has had a hard time cracking into the tablet market so far -- or smartphones for that matter -- they are responding to the challenge with the Oak Trail platform and upcoming Cedar Trail. They are also hard at work porting Google's tablet-specific Android 3.0, aka Honeycomb, to the x86 architecture, according to Intel's president and chief executive Paul Otellini, which seems to confirm recent rumors that Intel is working with first-tier notebook vendors to build tablets based on Intel chips.



User Comments: 8

Got something to say? Post a comment
ddg4005 ddg4005 said:

Looks like the P67 chipset debacle didn't cut into Intel's profits.

mosu said:

this is pure bull$,,t

dividebyzero dividebyzero, trainee n00b, said:

this is pure bull$,,t

Thanks for the in-depth analysis.

Here I was relying on reading the conference call transcript and checking the correlation between enterprise sector's continued resurgence with respect to Intel's and IBM's just announced Q1 figures.

Guest said:

Isn't this the battleground for the next two/ three years? which hardware platform is best suited to the tablet and smartphone market? Intel is desperate to push the x86 paradigm as it is suited/knows/can best exploit that market, while everyone else prefers to use arm or variant of it, especially for the powersaving aspect. Android is winning/won in the smartphone market, so now theres everything to play for in the tablet space. And that looks to be where the growth is, especially if prices come down both in mature and developing markets. Tablets for 1b chinese and 1.3b indians sounds like a juicy prospect.

LinkedKube LinkedKube, TechSpot Project Baby, said:

Thanks for the in-depth analysis.

Here I was relying on reading the conference call transcript and checking the correlation between enterprise sector's continued resurgence with respect to Intel's and IBM's just announced Q1 figures.

I know, I miss when guest couldn't post here on TS.

Leeky Leeky said:

I know, I miss when guest couldn't post here on TS.

I find them much like some members to be honest. There are good members, and there are bad members. There are also some members that willingly share, and others that deliberately just take. Then we get to comments that members make.. Some are complete garbage, and others are really well intended, and move the discussion forward with facts.

Guests are exactly the same. Now and then you get some wrong'uns, and other times I really enjoy reading what they have to say in certain threads.

The way of the world I guess.

As for Intel... I wish I could have just 1% of that!

LinkedKube LinkedKube, TechSpot Project Baby, said:

I'd take .1% in stock options.

I do agree that there are both good and bad members and guest I feel as though I'm creating a sliding scale in my head as I read through articles now. I know that If the article is about intel's money playing big brother or amd's little brother soccer(football) kick to intel's face the fan boys and trolls are waiting to sign in or just hop out from under dark bridges and torment us regular readers. I should also add that the older the reader is the more likely they seem to not care. I feel old I guess. There is one person on this forum that seems to find a way to be mean to everyone in some ways. CaptainCranky. Now he just doesn't care

dividebyzero dividebyzero, trainee n00b, said:

I find them much like some members to be honest. There are good members, and there are bad members. There are also some members that willingly share, and others that deliberately just take. Then we get to comments that members make.. Some are complete garbage, and others are really well intended, and move the discussion forward with facts.

Guests are exactly the same. Now and then you get some wrong'uns, and other times I really enjoy reading what they have to say in certain threads.

The primary difference is (seemingly) that the less than stellar members comments can usually be attributed to a certain lack of maturity and the desire to make a statement but shortcutting the fact-checking or taking into account the scope of thread.

Guests on the other hand include, more often than not, spammers, company PR shills, conspiracy theorists, and assorted trolls who attach themselves emotionally to a brand. And as Supersmashbrada alluded to, this last group tend to make themselves very vocal in their crusades and persecutions- both lovingly crafted by company rhetoric and self-promoting bloggers into some warped hearts-and-minds campaign which more often than not has the reverse effect...and of course ends up turning news and press release threads into extended advertisement breaks- partly the reason I believe that some members (myself included) either bypass the story altogether (or follow it on a subscription site/site that doesn't include a peanut gallery), or read the story and don't follow, or return to the forum comments after the initial visit.

In my opinion, Guests very occasionally make a valid contribution to a thread- usually someone connected to the companies/individuals posting additional information or correcting errata contained in the story (as the same story appears on other sites, these same comments usually follow). Guests probably also contribute a significant amount of site traffic so their contribution to the site is more indirect and probably a necessary evil, but a look through the news archives for stories with guaranteed trollbait in their titles (Intel, Nvidia, Apple, Microsoft, and to a lesser degree AMD/ATI) would likely dispell any argument of any sustained contribution from the Guest account.

Load all comments...

Add New Comment

TechSpot Members
Login or sign up for free,
it takes about 30 seconds.
You may also...
Get complete access to the TechSpot community. Join thousands of technology enthusiasts that contribute and share knowledge in our forum. Get a private inbox, upload your own photo gallery and more.