💻📉🇨🇳 Intel Q1 Preview: Tan’s Turnaround Tested Amid Tariffs, AI Lag, and Sinking Revenue
🔹 Summary:
Intel’s quarterly earnings Thursday will test new CEO Lip-Bu Tan’s strategy to revive the struggling chipmaker, which is bracing for a fourth straight revenue decline and widening losses.
Tariff threats, AI missteps, and reliance on China further complicate the outlook, as investors look for signs Tan can restore competitiveness and cut losses in both chips and manufacturing.
🔹 Key Points:
• Q1 revenue expected to fall 3.4%, with a projected net loss of $945M, more than double last year’s.
• PC chip revenue forecast down 11%, while data center sales set to decline for a 12th straight quarter.
• CEO Tan has flattened leadership, paused key AI chip rollouts, and faces pressure to refocus Intel’s fab strategy.
• U.S.-China tariff risk looms large; China accounted for nearly 1/3 of 2024 revenue and may slap 85%+ tariffs on U.S. chips.
• Global PC shipments jumped 9.4% in Q1, possibly boosting Intel via pre-tariff demand pull-ins.
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