Intel suffers as consumers flee the desktop computer market

INTEL last night slashed its year-end financial forecast as the personal computer business loses market share to tablets and smartphones.

The world’s top chipmaker said second quarter profits were down 29 per cent year-on-year to $2bn (£1.3bn), below Wall Street expectations.

It also reduced its year-end target for personal computer chip sales, although the decline in the sale of such components was not as steep as some recent market surveys had projected.

The company also posted second-quarter revenue of $12.8bn (£8.4bn) and said revenue in the current quarter would be $13.5bn, give or take $500m.

Recently appointed CEO Brian Krzanich said the firm “will leave no computing opportunity untapped” as it looks to improve its position.