Intel's AI PCs Are Killing Profits
(NASDAQ: INTC) reported a net loss of $1.6 billion in the second quarter, a swing of more than $3 billion year over year in the wrong direction. The company's adjusted gross margin was 38.7%, down from the same quarter last year and a mile away from its long-term target of 60%.
There are a lot of moving parts contributing to Intel's plunging bottom line, but a major component is the company's aggressive push to lead the market for artificial intelligence (AI) PCs.
Intel launched its Meteor Lake laptop chips late last year. These were the first PC central processing units (CPUs) from Intel that featured dedicated AI processors, although the AI horsepower included is well below newer chips from AMD and Qualcomm.
Source Fool.com
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