Intel Corp, the world’s largest chipmaker, expects to be more profitable in the coming years as the personal computer market expands as much as 16 percent through 2014, executives said.
Gross margins will be 55 percent to 65 percent, compared with 50 percent to 60 percent in the past decade, chief financial officer Stacy Smith told investors.
The PC business is “still a growth industry,” Intel chief executive officer Paul Otellini said in an earlier presentation at the company’s Santa Clara, California, headquarters.
Intel, whose chips run more than 80 percent of the world’s PCs, will sell more semiconductors for server computers, data centers and mobile phones, and offer new processors for other products including televisions and security systems, Otellini said.
The company’s ability to manufacture more advanced chips cheaply is helping it stay ahead of the competition, he said.
“We’ve set ourselves up for very profitable growth,” Otellini said. “Intel has a unique set of attributes that no one has.”
That will help Intel deliver double-digit revenue and earnings per-share growth in the coming years, he said.
Intel, the world’s largest computer-chip maker, fell US$0.27, or 1.2 percent, to US$22.28 at 4pm New York time in NASDAQ Stock Market trading. The shares have gained 9.2 percent this year.
Intel is “highly confident” in the forecasts it gave for the second quarter, Intel’s head of sales Thomas Kilroy said in a presentation after Otellini.
Some areas are ahead of the company’s internal predictions while some have fallen behind, Kilroy said.
Intel forecast last month that second-quarter sales will climb as high as US$10.6 billion, exceeding analysts’ predictions at that time. Full-year gross margin will widen to a record of about 64 percent, the company said.
The Ministry of Transportation and Communications yesterday inaugurated the Danjiang Bridge across the Tamsui River in New Taipei City, saying that the structure would be an architectural icon and traffic artery for Taiwan. Feted as a major engineering achievement, the Danjiang Bridge is 920m long, 211m tall at the top of its pylon, and is the longest single-pylon asymmetric cable-stayed bridge in the world, the government’s Web site for the structure said. It was designed by late Iraqi-British architect Zaha Hadid. The structure, with a maximum deck of 70m, accommodates road and light rail traffic, and affords a 200m navigation channel for boats,
PRECISION STRIKES: The most significant reason to deploy HIMARS to outlying islands is to establish a ‘dead zone’ that the PLA would not dare enter, a source said A High Mobility Artillery Rocket System (HIMARS) would be deployed to Penghu County and Dongyin Island (東引) in Lienchiang County (Matsu) to force the Chinese military to retreat at least 100km from the coastline, a military source said yesterday. Taiwan has been procuring HIMARS and Army Tactical Missile Systems (ATACMS) from the US in batches. Once all batches have been delivered, Taiwan would possess 111 HIMARS units and 504 ATACMS, which have a range of 300km. Considering that “offense is the best defense,” the military plans to forward-deploy the systems to outlying islands such as Penghu and Dongyin so that
WHAT WAS ALL THAT FOR? Jaw Shaw-kong said that Cheng Li-wen had pushed for more drastic cuts and attacked him, just for the outcome to be nearly identical to his bill The legislature yesterday passed a supplementary budget bill to fund the purchase of separate packages of US military equipment, with the combined amount of spending capped at NT$780 billion (US$24.8 billion). The Chinese Nationalist Party (KMT) and Taiwan People’s Party (TPP) used their legislative majority to pass the bill, which runs until 2033 and has two main funding provisions. One was for NT$300 billion of arms sales already approved by the US for Taiwan on Dec. 17 last year, the other was for NT$480 billion for another arms package expected to be announced by Washington. The bill, which fell short of the NT$1.25
‘CLEAR MESSAGE’: The bill would set up an interagency ‘tiger team’ to review sanctions tools and other economic options to help deter any Chinese aggression toward Taiwan US Representative Young Kim has introduced a bill to deter Chinese aggression against Taiwan, calling for an interagency “tiger team” to preplan coordinated sanctions and economic measures in response to possible Chinese military or political action against Taiwan. “[Chinese President] Xi Jinping [習近平] has directed the People’s Liberation Army to be ready to invade Taiwan by 2027. China has a plan. America should have one too,” Kim said in a news release on Thursday last week. She introduced the “Deter PRC [People’s Republic of China] aggression against Taiwan act” to “ensure the US has a coordinated sanctions strategy ready should
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