While the PC market is showing an impressive recovery and PC makers are renewing inventory, Intel’s management is ready to harvest the rise in revenue due to a forecasted boost in chip shipments. No doubt, the company is increasing its revenue guidance. For the third quarter of the year, the raised revenue guidance is $1506 billion (plus or minus $300 million), which is far improved than the earlier one i.e. $14.9 (plus or minus $500 millions).
Due to the affirmative market atmosphere PC makers are replenishing their desktop and laptop inventory, it directly increases the Intel chips shipping out. Since the ongoing season is mainly the festive and holiday season, the PC shipments are going to be sky rocket. In a statement made by Intel, the company accepts that they are finding the signs of improving the PC demand.
This scenario has brought the fresh air to the PC market as during the last quarter of the year, it was suffering from a slow down demand and makers were only focusing over clearing out their existing desktops and laptops in the stock. In a report by IDC, the PC shipments were declined by 4.5% in that period of time. Surely it was not a good time for Intel, too.
Now take a look at the boosting factors. The free upgrade offer by Microsoft has ended recently and certainly the users are more likely to buy new PCs to get Window 10. Furthermore, the increasing interest towards Chromebooks, gaming PCs and 2-in-1s are also driving the market to a better progress.
Get ready, the latest laptops are now loaded with Intel’s Kaby, Lake chips. The leading PC makers are soon bringing the new generation 2-in-is and laptops with inbuilt new chip by Intel. The improved and highly efficient new version of Kaby Lake chip that is dedicated to gaming PCs, is likely to be launched in January.
Riding on the fresh vibes of market betterments, Intel has also engaged in shipping Pentium and Celeron chips (both of them are aiming the low cost laptops). These are code named Apollo Lake and are based on the same architecture. There are various Chrombooks throughout the market, having the Apollo lake chips.
Now, the eyes are focused on the Intel’s announcement of its third quarter earnings on October 18th.