Intel sees best ever results from server push

Intel has credited growth in emerging markets and strong server demand for pushing the company to its strongest ever financial year.

The chipmaker reported revenues of $43.6bn (£27.5bn) for 2010, an increase of 24 per cent over the previous year. Net income was $11.7bn (£7.38bn), a 167 per cent improvement over 2009.

Intel reported revenues of $11.5bn (£7.25bn) for the final quarter of the year, up eight per cent from the previous year. Net income on the quarter was $3.4bn (£2.14bn), a 48 per cent improvement from 2009 and up 15 per cent from the third quarter.

Chief executive Paul Otellini credited the jump in large part to strong server platform sales, which helped push revenues from the company's datacentre group up by 35 per cent.

"The world of PCs and emerging computing devices is increasing the demand for servers of all types," he said.

Intel plans to overhaul its Xeon processor line in the coming months to keep up with the demand for server performance.

The Atom processor line is also slated for an update. Otellini said that the chips will be among those moving to the 22nm process, aimed at the tablet, smartphone and embedded markets where Intel will go head-to-head with vendors such as ARM.

Otellini also expects the revamped Sandy Bridge platform to drive PC sales. The company debuted the platform earlier this month at CES, promising major gains in performance.

"When you get your hands on a Sandy Bridge PC you will realise that it is more than just a fast processor," he said. "It is a visually stunning experience."