Intel reports largest quarterly loss in company history.

Colstan

Site Champ
Posts
822
Reaction score
1,124
Revenue $11.7 billion
Net loss $2.8 billion
Earnings per share down 133%

Compared to Q1 2022 YOY:

Revenue down 36%
Gross Margin 34%, down 16%

Per group:

Client down 38% (includes Windows PCs, laptops, graphics cards)
Data Center down 39%
Networking down 30%
Foundry down 24%

More from CNBC:

 

Colstan

Site Champ
Posts
822
Reaction score
1,124
We also have to remember that Intel's results this time last year were already bad, this is even worse. They lost Apple, the fruit company buys nothing from them except for a few dozen ancient Xeons for the legacy Mac Pro. AMD is absolutely eating them alive on every level. That's all in a down market and negative economic winds. Intel's roadmap is lacking for the rest of the year, so they probably won't have an opportunity to recover until sometime in 2024.
 

Yoused

up
Posts
5,508
Reaction score
8,682
Location
knee deep in the road apples of the 4 horsemen
IMG_3356.png
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
Couldn’t happen to a nicer bunch of misanthropes and jesus freaks.
Whenever there is a post about Intel, you bring up Gelsinger and his apparent religiosity, but no further context. I take it that he's left his bible in more places than Gideon?
 

Cmaier

Site Master
Staff Member
Site Donor
Posts
5,210
Reaction score
8,253
Whenever there is a post about Intel, you bring up Gelsinger and his apparent religiosity, but no further context. I take it that he's left his bible in more places than Gideon?
among other things, he is behind some organization whose goal is to convert everyone in Silicon Valley. Nothing more arrogant and despicable than presuming that your beliefs about ceiling-cat are more correct than anyone else’s beliefs about ceiling-cat.
 

Yoused

up
Posts
5,508
Reaction score
8,682
Location
knee deep in the road apples of the 4 horsemen
Here is a piece that starts out tailking about Gelsinger but then branches out to other people.

… Gelsinger urged corporations in Silicon Valley to place more emphasis on facilitating safe spaces for religion at work …

University of California, Berkeley ethnic studies associate professor Carolyn Chen, who was on the panel, opened the discussion by talking about findings from her research, namely that religious Silicon Valley employees face troubles balancing both their faith and their work life.

“I noticed a really striking difference between tech workers who were religious and those who are not religious,” Chen said. She found that most religious workers reported not sharing their cultural identity with others — an issue when work “is an important source of spirituality and a sense of mission.” Chen also said that “Tech workers bring their whole selves to work… Religious workers in the United States [don’t] have time to join two faith communities.” …

Garrett Johnson, who co-founded cloud-hosting service Hydra Host and Lincoln Network, also shared his research into the Bay Area tech industry. According to Johnson, nearly half of the respondents in his research identified as being atheistic or agnostic which is much higher than the national rate.

Johnson said that this number is worrying for communities of faith around the nation as “the tech industry is shaping so much of culture.” …

This guy says unbelievers having so much cultural influence is worrying. I feel rather the opposite. Christians have had the lion's share of culturual influence for centuries, and I am not seeing many upsides to what they have per se accomplished.
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
That's wild, I had no idea. I'm in the enthusiast bubble, so religion and politics really don't come up when you're trying to figure out what timings your DDR5 sticks should have. I had no clue that there was that sort of undercurrent inside the catacombs of Silicon Valley.

The only conspiracy theory I've heard is a dumb one, in that AMD and Nvidia are colluding to keep prices high on graphics cards, simply because AMD's Lisa Su and Nvidia's Jensen Huang are cousins. (Lisa's grandfather is Jensen's uncle.)
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
Gelsinger's proclivities aside, I admit I'm curious about Intel Arc. It's the most interesting consumer product that Intel has released in ages, while most of the CPU projects for the next two years are hangovers from before his time. Gelsinger was lead on the failed i740 GPU project, so I'm curious if he'll continue to invest in the graphics card market, if for no other reason than he doesn't want another GPU failure on his watch. Despite rumors that the entire Arc line has been canceled, the current plan appears to be to release Battlemage and Celestial with a single mid-range SKU, then try again with a full lineup using Druid, in about four years. That's an eternity in tech, but the market could really use a third graphics card option. (Also, these codenames confirm that Intel's graphics division are full of fantasy nerds.)

In other news, AMD's results are expected on May 2. Current analyst estimates expect earnings to be down 83%, with revenue down 10%. That's still a lot better than Intel, but the downturn in tech spending is hitting everyone. Regarding Apple, we can expect results on May 4.
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
I had no idea that Matrox still existed, but they've just adopted Intel's Arc GPUs for their niche video cards.


luma_series_600x338_678x452.png


It's kinda fitting that the company responsible for Parhelia is partnering with the company responsible for Alchemist. I'm sure Intel will take whatever customers they can get, but that's playing with bad voodoo.
 

Cmaier

Site Master
Staff Member
Site Donor
Posts
5,210
Reaction score
8,253
I had no idea that Matrox still existed, but they've just adopted Intel's Arc GPUs for their niche video cards.


View attachment 23291

It's kinda fitting that the company responsible for Parhelia is partnering with the company responsible for Alchemist. I'm sure Intel will take whatever customers they can get, but that's playing with bad voodoo.
Bad ”voodoo?” I assume you are referring to Exponential Technologies‘ cousin-company, 3DFX :)
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
Bad ”voodoo?” I assume you are referring to Exponential Technologies‘ cousin-company, 3DFX :)
Ding! Ding! Ding!

I'm not completely sure what killed 3dfx, but I'm assuming it had something to do with buying STB and only making first-party cards, when ATI was diversifying and Nvidia was killing it with that business model. That, and the Voodoo 3 wasn't compelling enough. I had a Voodoo 1 and 2, then switched to Nvidia with a TNT2.

It doesn't look like much today, but the unreleased Voodoo 6000 was otherworldly, at that time.

67383_01_legendary-3dfx-voodoo-5-6000-shown-4-way-sli-single-board_full-2630524689.jpeg
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
Now it's AMD's turn to report earnings. Graphs courtesy of Anandtech.

amd1.jpg


Revenue was down 9%, with a net loss of -$139 million. That compares to Intel's drop of 36% in revenue, and net loss of -$2.8 billion. Keep in mind that Intel wasn't doing particularly well a year ago. AMD hasn't had a loss this large in many years, but didn't suffer the worst in company history, as experienced by Intel.

amd2.jpg


Gaming held steady with console sales, while Data Center continued to profit from Intel's lackluster offerings, despite a market downturn. Embedded showed a substantial increase after the merger with Xilinx, a standout performer for AMD.

On the other hand, there is the Client division, which includes desktops, laptops, and chipsets featured in traditional PCs. Client revenue dropped by a staggering 65%, losing -$172 million. That compares to Intel's drop of 38% in their equivalent division.

AMD Q1-23 Earnings Slides_21.png


They also re-launched the Phoenix APUs, after being delayed, yet again. AMD are claiming that the Ryzen 7040U mobile CPU beats the Apple M2 found inside MacBooks.

amd_7840u_003.jpg


However, as 9to5Mac points out, AMD isn't actually offering any real proof of that.


AMD hasn't commented on whether these latest CPUs include the new Rapid Unscheduled Disassembly feature, as found inside the newest desktop chips, which I already covered.
 

Colstan

Site Champ
Posts
822
Reaction score
1,124
Apple's Q2 2023 results:

EPS: $1.52 vs. $1.43 expected
Revenue: $94.84 billion vs. $92.96 billion expected
Gross margin: 44.3% vs. 44.1% expected

iPhone revenue: $51.33 billion vs. $48.84 billion expected
Mac revenue: $7.17 billion vs. $7.80 billion expected
iPad revenue: $6.67 billion vs. $6.69 billion expected
Other Products revenue: $8.76 billion vs. $8.43 billion expected
Services revenue: $20.91 billion vs. $20.97 billion expected

revenue.jpg


revenueyoy.jpg


profit.jpg


percent.jpg


macrevenue.jpg


macyoy.jpg


More charts at Six Colors.

I would note that, despite Mac revenue being down significantly at -31%, that still compares favorably to the PC suppliers, with Intel client revenue down -38%, and AMD down -65%. While not directly comparable, I think this suggests that the Mac is still outperforming when compared to the overall personal computer market.

On the conference call, Apple stated: "Now let's turn to Mac, which recorded $7.2 billion in revenue for the March quarter, in line with our expectations. As we noted during our last call, Mac faced a very difficult compare because of the incredibly successful rollout of our M1 chips throughout the Mac lineup last year. And like our other product lines, Mac is facing some macroeconomic and foreign exchange headwinds as well.

That said, the advancements we've made in power efficient performance continue to amaze our users. Our M2 Mac mini customers are raving about the pro-level powerhouse packed into an ultra-compact design. And users are marveling at the power and speed at the heart of every M2-powered MacBook Air and MacBook Pro, which allow them to sustain even the most demanding workloads."

Further conference call notes from Jason Snell.
 

throAU

Site Champ
Posts
253
Reaction score
273
Location
Perth, Western Australia
Well I guess its because the only truly compelling product they have really (outside of niche users who need CPUs fast at AVX512 or whatever special instruction intel have this week) is the ARC GPU (no, seriously bear with me).

And that's not due to performance really, just that they're trying to buy market share probably at a loss in a market where everybody else has been making bank.
 

throAU

Site Champ
Posts
253
Reaction score
273
Location
Perth, Western Australia
There really isn’t, which is why he’s such a weirdo.

You simply need to follow his twitter. I did for a couple of days expecting something interesting but bible verse isn't what I follow tech CEOs for.



edit:
also holy crap, Apple's revenue vs. AMDs. More than 100x, and roughly 10x intel (talking orders of magnitude here, sure it's 8x or so).
 

Citysnaps

Elite Member
Staff Member
Site Donor
Posts
3,601
Reaction score
8,819
Main Camera
iPhone
I would note that, despite Mac revenue being down significantly at -31%, that still compares favorably to the PC suppliers, with Intel client revenue down -38%, and AMD down -65%. While not directly comparable, I think this suggests that the Mac is still outperforming when compared to the overall personal computer market.

My sense is that years ago Cook realized that with Apple silicon on the horizon for use in Macs, there would be a time in the future where Mac revenue would decrease as customers would be holding onto Macs for longer periods of time, due to their excellent performance being good enough for most people.

That's certainly the case for me with my M1 Studio and my modest needs. For me, it's good enough - and it will probably will be for the next few years.

To compensate for that projected loss of revenue, Cook went full in on services, to the point where today it represents 22% of Apple revenue, and nicely fills in (and then some) for the Mac revenue downturn.
 
Top Bottom
1 2