Intel, the world’s largest manufacturer of computer chips, has warned that its profits will not reach the levels it predicted in April, due to a reduction in earnings. Earnings for the April-June period are expected to reach between $6.2 billion and $6.5 billion. Intel had forecasted that revenues for the quarter would be between $6.4 billion and $7 billion.
The company has blamed weak demand in Europe, a fall in demand from its corporate customers, and a reduction in sales of its most expensive Pentium 4 chip for its reduction in earnings and profits.
Intel stated that its enterprise, mobile and communications businesses were all on course to meet company expectations.