Chips are up as Intel predicts Q2 revenues of US$13.7bn

13 Jun 2014

Stronger than expected demand for business PCs has led Intel to predict second-quarter revenues of US$13.7bn, up from the original forecast of US$13bn.

Intel is also expecting gross margin to increase by 1pc to 64pc, once again driven by higher PC unit volumes.

Intel said R&D and mergers and acquisitions spending will be around US$4.9bn, around US$100m higher than originally predicted.

R&D and mergers and acquisition spending for the full year is expected to be US$19.2bn.

“Intel now expects some revenue growth for the year as compared to the previous outlook of approximately flat,” the company said.

“The change in outlook is driven mostly by strong demand for business PCs.”

In April, Intel revealed 5,000 new construction jobs have been generated through a US$5bn investment in its Leixlip, Co Kildare, facility to prepare the operation for the future production of Intel technologies spanning PCs, servers, smartphones and tablet computers.

The investment represents the largest private investment in the history of the Irish State.

Intel is a Silicon Republic Featured Employer, comprised of top tech companies that are hiring now

Chip image via Shutterstock

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years