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Q2 Demand Better-than-Expected: Intel

Intel is half-way through the second quarter and orders and billing patterns are apparently strengthening

Coming off his statement last month that the recession-induced market nose-dive had bottomed out, Intel CEO Paul Otellini told an analyst meeting Tuesday that Q2 demand looked better than expected so far although the real test will be June. Intel is half-way through the second quarter and orders and billing patterns are apparently strengthening. However, Q2 results depend on June. Intel has not issued any Q2 guidance other than to say it thought revenue would be flat with Q1 when it's usually down. Otellini also told the analysts that sales in the second half, usually the better of the two, should be seasonal though off a lower base. He's beginning to think that Gartner overstated the drop in PC sales this year. The researcher predicted they'd be off 10%.

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