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[StreetsofBeige]

What

COVID PC hardware sales were so fucking high that it beat decades of highs. The drop down is, much like anything tech, drastic, but all this doom and gloom articles with « company X is -30% from previous year » is like a big duh, previous years they were abnormally high.

Pretty much.

My company had the best sales ever during covid years 2020 and 2021. We couldnt keep up with demand as every person was hoarding stuff at stores as if everything on Earth was coming to an end. Since then 2022 dropped, and 2023 seems so-so. Everything is back to normal like it's 2019.

Wall Street loves perfectly smooth growth trends, but covid fucked that up. Some companies like Intel and mine peaked during covid. Now it's dropped back to normal. On the other hand, some companies tanked into the toilet during covid, but have rebounded to normal.

What the masses of idiots didn't realize was that those early Twitter pics of people at Costco buying carts of supplies were mostly business owners stocking up as they didnt know if their wholesalers were shutting down. But Costcos remained up and running. Manufacturers supplying grocery stores werent shutting down due to covid. Normal supply for the masses were going to be there. But when people are buying 4 packs of toilet paper instead of one. That's where shortages came from.

 

[kiphalfton]

If they're doing so awful... why would they be building a new fab facility in Ohio?

 

[Unknown Soldier]

If they're doing so awful... why would they be building a new fab facility in Ohio?

Because Joe Biden literally gave them $20 billion to do it?

 

[Buggy Loop]

AMD Q1 earnings: Beats on revenue and EPS, but chip sales drop 64%

AMD reported better than expected Q1 earnings on Thursday, though data center revenue fell just short of expectations.

finance.yahoo.com

Not as bad as Intel but the rug is being pulled underneath the already massive sales PC had in past years. Client (Ryzen) sales are shit too. It seems they even lost market share if we compare Intel & AMD client earnings. The Epyc line is doing the heavy lifting.

AMD is contending with a huge drop in PC sales. According to Gartner, worldwide shipments collapsed 30% year-over-year in the first quarter of the year, falling to 55.2 million units. The problem? Limited demand from consumers and businesses and too much inventory mean fewer PCs are being sold. The result? A 64% year-over-year decline in client revenue, which includes sales of PC chips.

-6.56% after hours for the stock market

 

[Baki]

The real issues for them will start if ARM based processors find their way massively in businesses that have been typically dominated by x86.

AMD has shown that x86 can be competitive on perf/watt basis. Apples M1 advantage came primarily from a node advantage (5nm vs 7nm).

 

[Magic Carpet]

Gonna have to start building processors that have a limited lifespan. They fry themselves after a year. Get to sell a new processor.

 

[Haint]

AMD Q1 earnings: Beats on revenue and EPS, but chip sales drop 64%

AMD reported better than expected Q1 earnings on Thursday, though data center revenue fell just short of expectations.

finance.yahoo.com

Not as bad as Intel but the rug is being pulled underneath the already massive sales PC had in past years. Client (Ryzen) sales are shit too. It seems they even lost market share if we compare Intel & AMD client earnings. The Epyc line is doing the heavy lifting.



-6.56% after hours for the stock market

We didn't really need an earnings report for this. They been subsidizing entire desktop kits (CPU, Mobo, and 32GB DDR5 6000) for LESS than the price of one of their lower end CPU's. Something that drastic means sales aren't just in the dirt, they're 6 feet under it.

 

[John Wick]

As an Intel shareholder, I have to say the following:

• I support Pat Gelsinger's strategy...but he is playing the long game.
• AMD is just annihilating Intel with servers.
• Performance per watt is king, especially with AMD and Intel performing so identically with desktop and laptops.
  • And AMD is the clear winner in that area.

No easy way out for Intel, but if they can stick with their strategy of bringing fabs back on US soil, I support them 100%...even if I'm buying AMD, which I am.



Don't tell that to the braintrusts here on GAF that say things like:

• It's the Golden Age of PC Gaming!

and

• Who cares if the hardware sales figures over the last 3 years are among the worst since the mid-90s!

It's inevitable, honestly. And fuck x86, while we're on the subject.

But if Gelsinger's strategy of setting up fabs in the US works, then he can start fabbing ARM.

TSMC are already warning chips made in the US will be 30% more than made elsewhere.

 

[Ronin_7]

Yikes... Intel management is probably just terrible lol

 

[Bitmap Frogs]

E cores is a huge design mistake for marketing CPUs IMO and keeping the CoreI naming and breaking out a 4th tier was equally non-aspirational .

They've completely messed up their product range IMO, because you need to have the knowledge of a lifetime buyer to unravel all the options and tiers and gotchas with their CPUs and chipset, and that's not even getting started on the reality that laptop CPUs that have more than 2 P-cores - so effectively a modern day Centrino2/Core2Duo as the limiting factor for 99% of software - are priced so high there is zero consumer value or OEM value in the products, and they still sell garbage like Pentium Gold to drive the prices up from the bottom even more.

Look at these prices here for a surface tablet with a Core i5 mobile CPU (2 p-cores as the bottleneck) starting at 900

https://www.microsoft.com/en-gb/d/surface-pro-9/93VKD8NP4FVK/

And then look at what Intel are charging for that chip ($350)

https://ark.intel.com/content/www/u...1235u-processor-12m-cache-up-to-4-40-ghz.html

In short, intel are charging OEMs 3x the price they should for chipsets and CPUs, and they need to gut 90% of the range to bring back aspirational sales of people upgrading tiers and to make things like Ultrabooks common place IMO

There’s something that feels wrong about calling a 15w part “i7”

 

[Unknown Soldier]

There’s something that feels wrong about calling a 15w part “i7”

Don't worry, soon it will be called "Core Ultra 7" instead

 

[winjer]

Intel Announces Layoffs After Paying $1.5 Billion In Q1 Dividends

Chipmaker Intel Corporation has confirmed layoffs as its revenues drop in a slowing market. Take a look for more!

wccftech.com

Very unfortunate news, but massive layoffs at Intel coming! Intel's Datacenter and Client computing groups are receiving ~10% budget cuts It's up to divisions to figure out how to cut Given fixed costs, means as much as 20% layoffs in groups LTD (process node) unaffected