Intel profit rises as PC market recovers

Intel made much more profit in the second quarter of this year than in the same quarter a year earlier. Net profit rose by no less than 40 percent. According to the chip manufacturer, this is mainly because the sale of the number of PCs is stabilizing after years of decline.

The profit increase was mainly achieved in the PCs and data centers business units; In both segments, trading volume grew 9 percent year-on-year and 12 percent year-on-year, Intel chief executive Stacy Smith told Reuters that PC sales are stabilizing . He also expects sales to increase in the near future.

This is in line with the expectations of research firms Gartner and IDC. They also recently noted a stabilization in the PC market. The trend change is mainly due to the fact that many old PCs that still run Windows XP are now being replaced. Microsoft ended support for the operating system in April of this year.

In the second quarter of this year, Intel’s net profit came in at $2.8 billion compared to $2 billion in 2013, approximately EUR 2 billion and EUR 1.5 billion, respectively. Intel still relies heavily on PCs and data centers; it gets about 88 percent of its revenue from those markets. In the mobile segment, Intel still can’t break any pots; turnover in this business unit fell to 51 million dollars and the chip manufacturer lost 1.12 billion dollars, which is approximately 830 million euros.