Chip giant Intel Corp. INTC 0.75% may be seeing an end to the work-from-home boost it enjoyed during the pandemic, with earnings hit by consumers gravitating to cheaper laptops and data-center sales softening. The company’s growth has been principally in areas where prices are lower, denting profitability, Intel Chief Financial Officer George Davis said. “We saw much stronger PC demand in the consumer and education side, which tends to be the more entry-level for PC notebooks,” he said. That spurred a 7% drop in Intel’s data-center revenue to $5.9 billion, the company said, falling short of what analysts surveyed by FactSet forecast. To continue meeting customers’ needs, Intel may have some future cutting-edge chips produced outside its own factories, a major shift for the company.

Source: Wall Street Journal October 22, 2020 20:41 UTC