Intel predicts that slightly higher sales of its PC and
server processors will be offset by slightly lower sales of
communications processors in the first quarter.
Q1 revenue should come in between $6.6bn and $6.8bn, Intel said.
That is a narrower range than given during the company's
fourth-quarter earnings call in January. At that time, Intel had
predicted revenue between $6.5bn and $7bn.
The communications business has been hurt by
slower-than-expected flash memory sales, which has also slightly
lowered the company's expected gross margins due to excess
inventory. Increased demand for flash memory products in the fourth
quarter led Intel to announce in November that it would raise flash
memory prices in January
