The economic crisis continue to affect the IT industry. It now looks like the third quarter will not be a lot better compared to the second quarter for most of the companies. This Tuesday Intel’s CEO Craig Barret said he expected modest growth in the third quarter over the second quarter for his corporation.

The problems of the industry lay in the companies’ unwillingness to invest in IT market in general and in computers in particular, as stated by Mr. Barret. It now becomes like a locked cycle, since companies do not want to invest since they have no spare funds for that and they do not see the time when their investments will return. However, if the industry stop to invest, it will never receive profit and continue loosing money.

Intel adjusted their expected revenue for this quarter up to $6.9 billion from $6.3 billion during the quarter passed. The company said it will continue to put money into research and development, as it is the only chance to survive in current conditions as well as for the long term. According to Intel, they have no plans to cut its R&D activities financing down and every step in this direction will be made with no delays as planned. I remind you that Intel poured $7.3 billion into capital spending last year.

Well, as usually, Intel’s strategy and efforts are very smart and healthy. However, what works for Intel, works against the small companies. History knows a lot of examples when huge long-term investments without strong position on the market leaded to bankruptcy for not very large corporations.