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Intel: Stuck in smartphone

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Intel‘s second quarter wasn’t so bad and the company cut its third quarter outlook in a move that surprised few analysts. But what’s worrisome is the chip giant still doesn’t have answers for a declining PC market and lack of smartphone and tablet traction.

The company reported second quarter earnings of 39 cents a share on revenue of $12.8 billion. Earnings were in line, but sales were light. Intel projected third quarter revenue of $13.5 billion, which was short of expectations.

On a conference call, CEO Brian Krzanich outlined his goals and said that Intel’s ability to run both x86 and Android software will help it gain share in tablets. Krzanich was confident that Intel could get mobile traction.

“You’ll look back and say wow, it’s obvious that the Atom line has truly become strong and they’ve got share in the tablet space,” he said.

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Source: Associated Press

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