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Intel's results boost sector

INTEL, the world&rsquo;s biggest chipmaker, reported better-than-expected second quarter net profits of $1bn (&pound;610m) yesterday, fuelling hopes that the worst is behind the technology sector, as its reporting season opens.<br /><br />The company said its revenues of $8bn were down 15 per cent year-on-year, but up 12 per cent from the first quarter, and beat analysts expectations of $7.27bn for the period.<br /><br />&ldquo;Intel&rsquo;s second quarter results reflect improving conditions in the PC market segment with our strongest first&ndash;to&ndash;second quarter growth since 1988 and a clear expectation for a seasonally stronger second half,&rdquo; chief executive Paul Otellini said.<br /><br />Intel&rsquo;s microprocessors are used in more than three-quarters of the world&rsquo;s personal computers, and its results are a barometer for the global PC sector.<br /><br />The group has felt the effects of the economic recession and the slowdown in IT spending, but Otellini said earlier this year that PC sales had &ldquo;bottomed out&rdquo; in the first quarter and that the industry was returning to seasonal business patterns.<br /><br />Intel had to pay charges for a European antitrust fine in the second quarter of $1.45bn, but it intends to appeal the ruling.