Intel Misses Earnings, Fears Recession
Chipmaker's stock plummets amid disappointing results
Wall Street analysts say Intel's warning of a slowdown in the data center market is a sign of a worsening economic outlook
Intel Corp. reported second-quarter earnings that missed analysts' estimates on Thursday, sending its stock down more than 10% in after-hours trading. The chipmaker also issued a weak forecast for the current quarter, citing concerns about a slowdown in the data center market.
"We are seeing some signs of a slowdown in the data center market," Intel CEO Pat Gelsinger said in a statement. "We are taking actions to reduce costs and improve our operational efficiency."
Intel's results are the latest sign of weakness in the semiconductor industry. In recent months, other chipmakers, including Nvidia Corp. and Micron Technology Inc., have also reported disappointing results. The industry is facing a number of challenges, including declining demand for personal computers and smartphones, as well as rising costs.
Analysts say Intel's warning of a slowdown in the data center market is a sign of a worsening economic outlook. The data center market is a key driver of growth for Intel, and a slowdown in this market could have a significant impact on the company's overall financial performance.
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