In this news, we discuss the Intel data center revenue misses estimates, shares slide.
(Reuters) – Intel Corp INTC.O missed revenue guidance for its high-margin data center business on Thursday, dropping its shares by 8% after the bell.
Revenues from Intel’s higher-margin data center business fell 7 percent to $ 5.9 billion in the quarter under review, while analysts expected an average of $ 6.21 billion. dollars, according to FactSet.
Intel is the leading supplier of processor chips for PCs and data centers, but the company has struggled to cope with manufacturing delays, saying in July that its next generation of chip-making technology was six months behind schedule .
Competitors such as Advanced Micro Devices Inc AMD.O and Nvidia Corp NVDA.O, which use outside manufacturers, have capitalized on Intel’s woes and are gaining market share in data centers and PCs, with AMD reaching its highest market share since 2013 year.
Reporting by Munsif Vengattil and Stephen Nellis; Edited by Anil D’Silva
Original © Thomson Reuters