Intel sells more tablet chips but profits fall
by Agam Shah
Intel's revenue during the first fiscal quarter goes up by 1 percent. Intel shipped 5 million processors for tablets in the first quarter, but profits fell as PC sales remained weak. Net income for the quarter ended March 29 was US$1.9 billion, down 5 percent from a year ago, Intel said on Tuesday. Revenue increased 1 percent to $12.8 billion. The slight revenue improvement came largely from its Data Center Group, which sells Intel's Xeon server products. Revenue from its Mobile and Communications Group, which sells chips for tablets and smartphones, tumbled 61 percent. Intel has been paying tablet makers to cover the cost of using its chips in a bid to compete better with ARM. As a result, it doesn't make much money today from the tablet processors it sells.