Sales of Intel mobile processors fell 5 and desktop processors
Hardware

Sales of Intel mobile processors fell 5% and desktop processors fell 9% last year

After releasing general statistics on the client systems market last week, Intel recently released its annual report Form 10-K, which allows you to track the dynamics of sales in individual market segments in more detail. The company delivered 5% fewer components for laptops last year than in 2022, and shipments in the desktop segment fell by 9%.

    Image source: Intel

Image source: Intel

What is characteristic is that we are specifically talking about the supply dynamics in physical terms and not in monetary terms. Intel’s sales in the laptop segment fell from $18.8 billion to $17 billion at the end of last year, a decline of 9.6%. According to Intel, demand for laptop components was particularly weak in the first half of the year, and it was only in the second half that the decline was slightly offset by a recovery in demand as previously accumulated inventories were depleted. The average selling price of an Intel component for laptops for the whole of 2023 fell by 5%, due to greater demand for the corresponding devices in the educational sector, and the peculiarities of this market are that it is dominated by cheaper processors with a small number of cores or Models of previous generations.

    Image source: Intel

Image source: Intel

In the desktop segment, Intel’s revenue fell 4.7% to $10.2 billion at the end of last year, while shipments fell 9% in volume terms compared to 2022. According to Intel, the second half of the year was also more prosperous for the desktop PC market, but only due to the exhaustion of some product inventories. It is noteworthy that Intel, in the best tradition, continued to increase the average selling price in the face of falling sales volumes – it increased by a whopping 5%, since more expensive processor models of this brand were in high demand in retail and gaming segments of the market.

If we compare last year with 2022, then Intel’s customer business, although it turned out to be slightly less profitable (US$ 29.3 billion compared to US$ 31.8 billion in revenue), allowed an increase in operating profit of 5 .6 to 6.5 billion US dollars, in accordance with the reduction criterion Product delivery volumes showed more restrained dynamics. For example, in 2022 Intel reduced its range of components for laptops by 36%, and in the desktop segment the decline was 19%. Against this background, the decline of 5 and 9% last year seems to be a very good result.

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Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

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