Mobile Products Propel Intel To Record Second Quarter

Processors for notebook computers continue to lead the way for Intel, which on Tuesday reported record second-quarter revenue, although revenue and earnings were both down from the first quarter.

For the quarter ending July 2, Intel reported net income of $2 billion on revenue of $9.2 billion, compared with net income of $1.8 billion on revenue of $8 billion in the second quarter of 2004, and with net income of $2.2 billion on revenue of $9.4 billion in the first quarter of this year.

Intel advised that it expects its third-quarter revenue to be between $9.6 billion and $10.2 billion.

For the first half of 2005, Intel reported net income of $4.2 billion on revenue of $18.7 billion, compared with net income of $3.5 billion on revenue of $16.1 billion in the first half of 2004.

"Intel delivered record second-quarter revenue with growth of 15% versus a year ago led by strong demand for our notebook platforms," said Paul Otellini, president and CEO of Intel, in a statement. "Our investments in new products, advanced silicon capacity, and emerging markets are paying off with growth that is outpacing the industry."

In the second half of the year Intel plans to ramp up dual-core processors into high volume, begin production using a 65-nanometer manufacturing process, and introduce new platform-level products, Otellini said.