Intel today narrowed its second quarter financial forecast to $6.60 - $6.80 billion from the previous range between $6.40 and $7.0 billion. The company said that its microprocessors have been selling better than expected, while communication solutions have not been really strong sellers so far this quarter.
Intel blamed its own decision to increase flash memory pricing last December. The consequence of this decision is lowering sales of flash memory and weak performance of the whole Intel’s communications division. Intel’s microprocessor business performs on the high-end of seasonal expectations; in contrast to flash-business, Intel aggressively reduces the pricing of its affordable CPUs.
Analysts expect Intel to earn $0.13 per share on revenues of $6.6 billion, according to a survey by Thomson First Call. The second-quarter ends on the 30th of June.