KitGuru KitGuru.net – Tech News | Hardware News | Hardware Reviews | IOS | Mobile | Gaming | Graphics Cards
Despite of lowering sales of personal computers and slow demand for consumer electronics in general, Intel Corp. claims that shipments of its high-end Core i7 microprocessors were record-high in the second quarter of 2015.
Although Intel Corp. posted mixed results for the second quarter of the year and made a rather disappointing announcement concerning the state of its 10nm process technology, there are a number of bright spots in its report. For example, increased average selling price of its microprocessors because of record shipments of its high-end Core i7 offerings.
“While there were year-over-year declines in desktop and notebook volume, we saw record Core desktop mix due to growth in the high-end segment and record Core i7 mix overall for the PC business,” said Brian Krzanich, chief executive officer of Intel, during the company’s quarterly conference call with investors and financial analysts.
It is noteworthy that Intel enjoyed great sales of higher-end desktop microprocessors during the quarter. According to the company, desktop platform sales were down 22 per cent year-over-year, but average selling prices of desktop products were up six per cent, a clear indicator that the company sold a lot of Core i7 products for desktops. By contrast, sales of notebook components were down 11 per cent YoY, ASPs dropped two per cent YoY.
It should be noted that 22 per cent drop of desktop sales year-over-year is clearly a very negative trend not only for Intel, but for the whole industry of personal computers. Such a major drop is a result of the fact that Intel sold a lot of mainstream and entry-level desktop components in Q2 2014 because businesses started to buy new PCs due to end of Windows XP support. Nonetheless, the 22 per cent YoY decline cannot be explained by only the “Windows XP upgrade” effect in 2014. It looks like that while gaming desktops seem to be on the rise, all other types of such PCs seem to be losing popularity among customers.
Intel this week reported second-quarter revenue of $13.2 billion, operating income of $2.9 billion, net income of $2.7 billion. Second quarter gross margin of the company was 62.5 per cent. Intel’s client computing group – which sells microprocessors, chipsets, mobile communication components as well as wireless and wired connectivity products for personal computers, tablets, smartphones and other personal devices – reported revenue $7.5 billion, up 2 per cent quarter-over-quarter (QoQ) and down 14 per cent year-over-year (YoY). Data center group – which sells server processors, co-processors, chipsets, network components and other – earned revenue of $3.9 billion, up 5 per cent QoQ and up 10 per cent YoY. Internet of Things group’s revenue was $559 million, up 5 per cent sequentially and up 4 per cent YoY. Software and services operating segments revenue was $534 million, flat QoQ and down 3 per cent YoY.
Discuss on our Facebook page, HERE.
KitGuru Says: While it is good to see that a lot of people appreciate great microprocessors, it is sad that mainstream users seem to be either abandoning desktops, or keep them for many years for some reasons. Poor sales are bad for the industry as low revenues slowdown progress.
KitGuru Says: While it is good
to see that a lot of people appreciate great microprocessors, it is sad
that mainstream users seem to be either abandoning desktops, or keep
them for many years for some reasons. Poor sales are bad for the
industry as low revenues slowdown progress.
“THE ONLY CONSTANT IN THIS UNIVERSE IS “CHANGE”
Tablets have taken over the consumption market-crapbook-e-mail-browsing……………..
A local Legal/Accounting office with 400 users is down to a handfull of desktops
it’s all laptops now.This trend is also moving into homes,especially now with
laptops under $300……………………..
WellCome Our Community || k i t g u r || Get Work Online
It is called Demographics. People in developed countries are getting older and due to the pill, there is nowhere near enough children and young adults to replace them. Older folks are retiring and do not need new PCs. Any computers they used at work get handed down.
The world’s population growth is positive so your point is automatically negated because with positive population growth there would be positive PC growth. The real reasons are totally different:
1. Most people like to have devices on the go – smartphones, tablets, etc. which means within a person’s limited budget, they are going to get those devices before upgrading their desktop;
2. Most people are more than satisfied with the performance of a relatively modern desktop/laptop PC. Considering there is still no smartphone that’s even as fast as a Core 2 Duo E6600 from 2006, there is little reason to actually get a PC for anyone who is done university. Since not everyone goes to college/university, consider it little reason to get a new PC after finishing high-school. Right now slapping 2GB of RAM and an SSD on a 2008 system will give it another 3 years of life no problem for the average user.
You don’t have to be 60 years old to not require a new PC anymore. Even someone who is 25 done university/college doesn’t need a new PC anymore. If it’s required for work, work provides it. Otherwise, their old PC is good enough for typing/internet browsing/checking e-mail. Smartphones and tablets accomplish almost everything that’s required for the average person today. This is why we saw exponential sales of smartphones in the last 5 years.
except my c2d bsoded like hell
if it aint broke don’t fix it
so i am on a i7 2600 and unless something happens… it should be good for a while