Intel Q2 Financials- revenue down, profit down, datacenter up

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ShintaiDK

Lifer
Apr 22, 2012
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At every company I've worked at we've had at least a couple of network failures per year, lasting a couple of hours each. Sometimes due to local network issues, sometimes external. Each hour of downtime costs a lot of money, since so many employees are affected. At least they can continue to do local work on their PC if the applications are locally installed on it. But if they couldn't even access those applications since they are in the cloud, it would be far worse.

There is several years between such an issue here.

Also what good does it do that they can work locally on a PC? If they lack (ip)phone, network shares, databases, email, CRM, internet etc?

The amount of work you can do today on a non networked PC in a corporation is close to zero.
 
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Redentor

Member
Apr 2, 2005
97
14
71
Intel Forecast Capex '15 is now just $7.7 billions.
6 months ago was 10.5 billions, 3 months ago 8.7 billions.
 

TeknoBug

Platinum Member
Oct 2, 2013
2,084
31
91
Gamers and enthusiasts care about desktop, almost everyone else is resorting to mobile or laptop- why not? Years ago a lot of us used to have a landline phone and hardly a cell phone, now most of us don't even have a landline and take the cell phone with us everywhere we go and not miss a call or message, same with tablets, we can take our computer with us wherever we go now.
 

piasabird

Lifer
Feb 6, 2002
17,168
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Mobile on desktop has probably turned into a product only available with OEM Builders and not the general public. You may see these in Intel NUC, Brix, TV Boxes, etc.
 

Fjodor2001

Diamond Member
Feb 6, 2010
3,938
408
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There is several years between such an issue here.

Also what good does it do that they can work locally on a PC? If they lack (ip)phone, network shares, databases, email, CRM, internet etc?

The amount of work you can do today on a non networked PC in a corporation is close to zero.

You can pretty much continue developing SW as usual. If you're using git or another distributed revision control system you can even commit changes locally, and push to git server once the network comes online again.

As for all office type applications, you can continue working on them too (and even access stuff on the local network, assuming the problem is with the external network). You can continue writing emails, and send them when the network is online again.

If that functionality was in the cloud instead, you'd be lost...
 

ShintaiDK

Lifer
Apr 22, 2012
20,378
145
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You can pretty much continue developing SW as usual. If you're using git or another distributed revision control system you can even commit changes locally, and push to git server once the network comes online again.

As for all office type applications, you can continue working on them too (and even access stuff on the local network, assuming the problem is with the external network). You can continue writing emails, and send them when the network is online again.

If that functionality was in the cloud instead, you'd be lost...

So some shoehorn niche excuse for places without redunancy. And somehow cost still isnt an issue.

Like always, the market have spoken and its still not in your favour.
 
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Fjodor2001

Diamond Member
Feb 6, 2010
3,938
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So some shoehorn niche excuse for places without redunancy. And somehow cost still isnt an issue.

Like always, the market have spoken and its still not in your favour.

Huh? What are you rambling about now again?

Some niche? Cost is not in my favor? Did you even read what I wrote?

Barely no SW development companies use cloud services, for the reasons I and others already have mentioned. Not many typical offices either.

The cost of cloud services is much greater due to service outage for the reasons I explained. Even a couple of hours service outage and thus idle work time for all employees at an office will quickly become more than the cost of a desktop PC.

Cloud services are good for hosting web servers and similar though, but that's an entirely different story.
 

Phynaz

Lifer
Mar 13, 2006
10,140
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office 365 includes 5 licenses as well. you can use the apps offline, it's a simple install. it also includes an exchange mailbox.

And i'm not sure what the $50 is for, we pay $12.5 a user a month, less than what we previously paid just for exchange.

edit: yeah, the highest package is $20, no idea what the $50 is about.

$50 includes a high end Azure setup, so you can host your VDI's and other apps with Microsoft. Such as something that requires a SQL server instance.

Basically I was putting together a complete IT package for a small business. Throw a cheap thin / zero client on the desktop and you are set to go.
 

Phynaz

Lifer
Mar 13, 2006
10,140
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Cloud is eventualy relevant for non critical datas, i dont expect any serious business to upload datas that are strategical, it would be a suicide on the long term...

In 1Q2015 Amazon did $5.6B of cloud business. I don't think you have any idea of the number of companies that run on their platform.

Microsoft doesn't announce for a few days yet, but is expected to generate $6.3B of revenue from the cloud.

Salesforce.com entire business model is based upon cloud, as is HP Helion and Servicenow.

I'm sure you have heard of SAP.

The list is a thousand companies long, but this is enough to prove that serious business uses the cloud.

Edit:
Here's Amazon's partner list:
http://www.aws-partner-directory.com/PartnerDirectory/PartnerSearch?type=ISV
 
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dark zero

Platinum Member
Jun 2, 2015
2,655
138
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Intel can gain more if they convince MS to promote even more Pc games and ditch the consoles permanently. The Pc gaming is increasing a lot.
 

roob

Junior Member
Apr 26, 2013
18
0
0
$50 includes a high end Azure setup, so you can host your VDI's and other apps with Microsoft. Such as something that requires a SQL server instance.

Basically I was putting together a complete IT package for a small business. Throw a cheap thin / zero client on the desktop and you are set to go.

ah gotcha. now you got certain people thinking office 365 is $600 a year
 

Fjodor2001

Diamond Member
Feb 6, 2010
3,938
408
126
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Fjodor2001

Diamond Member
Feb 6, 2010
3,938
408
126
PC sales are down in general and even for Intel? No that cannot be true. Here's what Phynaz said just a few days ago:

If no one is buying PCs then why didn't Intel warn? This is strictly an AMD issue, not a market issue.
Surely he must know better than actual reality...
 

Phynaz

Lifer
Mar 13, 2006
10,140
819
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PC sales are down in general and even for Intel? No that cannot be true. Here's what Phynaz said just a few days ago:


Surely he must know better than actual reality...

Intel's drop in PC revenue - 14%
AMD's drop in PC revenue - 54%

Intel beat estimates, AMD missed lowered expectations.

I haven't done the math yet, how much more market share did Intel take from AMD? Maybe AMD market share is in the single digits in PC like they are in servers. :whiste:
 

Burpo

Diamond Member
Sep 10, 2013
4,223
473
126
It is $5b per year.. from your own link..

"“Amazon Web Services is a $5 billion business and still growing fast — in fact it’s accelerating,” said Jeff Bezos, founder and CEO of Amazon.com"
 

TeknoBug

Platinum Member
Oct 2, 2013
2,084
31
91
It's funny how "PC gaming is increasing" yet PC sales and parts in general are dropping, probably due to the lack of need to upgrade- the difference from Sandy Bridge to Broadwell isn't that big and AMD basically hasn't put out anything worth giving a rat's ass about in 4 years.
 

Phynaz

Lifer
Mar 13, 2006
10,140
819
126
Some quick back of the napkin math.

Intel client sales $7.5B
AMD client sales $0.37B
================

Total Market $7.87B

7.50/7.87*100 = 95% market share for Intel.

People wonder what Intel will do if AMD goes under? They are already doing it.
 

ShintaiDK

Lifer
Apr 22, 2012
20,378
145
106
Some quick back of the napkin math.

Intel client sales $7.5B
AMD client sales $0.37B
================

Total Market $7.87B

7.50/7.87*100 = 95% market share for Intel.

People wonder what Intel will do if AMD goes under? They are already doing it.

Revenue wise they are in the ~2% range compared in the PC x86 segment including servers.

The 379M$ from AMD includes GPUs. Say 100M$ GPUs and we are at 96.5% just in client without server.
 
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Phynaz

Lifer
Mar 13, 2006
10,140
819
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It is $5b per year.. from your own link..

"“Amazon Web Services is a $5 billion business and still growing fast — in fact it’s accelerating,” said Jeff Bezos, founder and CEO of Amazon.com"

Net product sales $ 17,084
Net service sales 5,633 <-- That's AWS
Total net sales 22,717

Edit:
I was wrong, AWS is broken out further down in the report. $1.56B for quarter.
 
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Phynaz

Lifer
Mar 13, 2006
10,140
819
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Revenue wise they are in the ~2% range compared in the PC x86 segment including servers.

The 379M$ from AMD includes GPUs.

Yeah, I know, but I decided to keep it simple enough to get the point across without have to put in footnotes.

95%, 97%, it's academic at this point.
 

mrmt

Diamond Member
Aug 18, 2012
3,974
0
76
I haven't done the math yet, how much more market share did Intel take from AMD? Maybe AMD market share is in the single digits in PC like they are in servers. :whiste:

IIRC AMD server market share broke the barrier of single digits a few quarters ago. They are now in the single decimals.
 
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