Advanced Micro Devices (AMD) Inc, a chipmaker struggling to compete with Intel Corp, said second-quarter sales declined more than it had originally projected, citing weak consumer demand for personal computers.
Revenue dropped about 8 percent from the first quarter, compared with an earlier forecast for sales to fall about 3 percent, the Sunnyvale, California-based company said on Monday in a statement. AMD is to report results for the quarter on July 16.
AMD’s disappointing outlook adds evidence that the PC industry has failed to lure consumers away from smartphones and tablets back to laptops.
Last month, Micron Technologies Inc predicted sales this quarter will be worse than analysts’ estimates.
AMD also has been hurt by order losses to Intel, which had grabbed market share amid a four-year industry slump.
The chipmaker’s projection indicates sales of about US$947.6 million, compared with an average analyst estimate of US$999.5 million, according to data compiled by Bloomberg.
Quarterly revenue will be less than US$1 billion for the first time in at least a decade. Minus certain items, gross margin, the percentage of sales remaining after deducting the cost of manufacturing, will be about 28 percent, narrower than the 32 percent it had predicted. AMD said it ended the quarter with US$830 million in cash.
AMD dropped as much as 15 percent in extended trading following the announcement. Earlier, the shares fell 2.4 percent to US$2.47 at the close in New York.
Among the rows of vibrators, rubber torsos and leather harnesses at a Chinese sex toys exhibition in Shanghai this weekend, the beginnings of an artificial intelligence (AI)-driven shift in the industry quietly pulsed. China manufactures about 70 percent of the world’s sex toys, most of it the “hardware” on display at the fair — whether that be technicolor tentacled dildos or hyper-realistic personalized silicone dolls. Yet smart toys have been rising in popularity for some time. Many major European and US brands already offer tech-enhanced products that can enable long-distance love, monitor well-being and even bring people one step closer to
Malaysia’s leader yesterday announced plans to build a massive semiconductor design park, aiming to boost the Southeast Asian nation’s role in the global chip industry. A prominent player in the semiconductor industry for decades, Malaysia accounts for an estimated 13 percent of global back-end manufacturing, according to German tech giant Bosch. Now it wants to go beyond production and emerge as a chip design powerhouse too, Malaysian Prime Minister Anwar Ibrahim said. “I am pleased to announce the largest IC (integrated circuit) Design Park in Southeast Asia, that will house world-class anchor tenants and collaborate with global companies such as Arm [Holdings PLC],”
Sales in the retail, and food and beverage sectors last month continued to rise, increasing 0.7 percent and 13.6 percent respectively from a year earlier, setting record highs for the month of March, the Ministry of Economic Affairs said yesterday. Sales in the wholesale sector also grew last month by 4.6 annually, mainly due to the business opportunities for emerging applications related to artificial intelligence (AI) and high-performance computing technologies, the ministry said in a report. The ministry forecast that retail, and food and beverage sales this month would retain their growth momentum as the former would benefit from Tomb Sweeping Day
Thousands of parents in Singapore are furious after a Cordlife Group Ltd (康盛人生集團), a major operator of cord blood banks in Asia, irreparably damaged their children’s samples through improper handling, with some now pursuing legal action. The ongoing case, one of the worst to hit the largely untested industry, has renewed concerns over companies marketing themselves to anxious parents with mostly unproven assurances. This has implications across the region, given Cordlife’s operations in Hong Kong, Macau, Indonesia, the Philippines and India. The parents paid for years to have their infants’ cord blood stored, with the understanding that the stem cells they contained