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Intel has recently announced that it expects a lower revenue this year, as the demand for computers has declined and there’s reduction in inventory among PC makers and other customers.
This means that Intel will suffer the first full year decline in sales from 2006. Intel is currently one of the most chip manufacturers on the market, its products being reliable and having a good reputation. Intel announced sales are down 20% from the third quarter and 23% from a year earlier.
This is a pretty big hit for any company and because the financial crisis the demand for computers won’t be any higher.
Intel's results also will suffer as a result of its investment in another tech company, Clearwire. Intel said it expects to take a charge of $950 million to reflect the decline in value of Clearwire, a provider of high-speed wireless Internet access.
Among the biggest shareholders of Clearwire we can find Google, Intel and Sprint Nextel. On the other hand, the good run Intel had over the years, being considered the largest chip manufacturer in the world, should be enough to keep the company above the floating line. Sure, there will be losses but specialists believe that Intel is still strong.
Intel has a good reputation and in the race with AMD it always managed somehow to come in first, and this counts a lot. Intel controls about 75% of the world's PC and server microprocessors and still displays a very competitive position.
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