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April 28, 1994


By CBR Staff Writer

Intel Corp expects controller and Flash memory chip sales to total $1,500m in 1994, up from $1,000m in 1993, senior vice-president Bob Reed said: the non-microprocessor businesses account for about 10% of revenues, but are growing faster than its microprocessor business; but growth of these price-sensitive segments tends to depress Intel’s gross profit margin; Reed reiterated the company’s strategy of not managing to preserve gross margin percentages, focussing instead on absolute dollars of profit; Intel’s gross margin percentage fell to 57.7% in the 1994 first quarter from 60.9% in 1993 fourth quarter.

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