Intel rides the mobile wave

Continuing demand for notebook computers helped Intel to post strong sales for its first fiscal quarter of 2005.

Sales for the period ending 2 April rose to $9.4bn, up 17 per cent on last year. Intel posted a 25 per cent rise in income to $2.2bn.

Positive sales of mobile products spurred the revenue increase, according to Intel chief executive Craig Barrett.

Although the overall number of microprocessor units shipped remained flat, mobile processors made up for volume losses in other segments.

Intel launched its Sonoma mobile chip in January, the next generation of its Centrino line for notebooks.

The company also reported a decline in the sales of chipsets and motherboards. Intel's Flash memory business also suffered from lower sales.

Next to the mobile processor business, wireless connectivity chips for applications such as Wi-Fi and WiMax were among the few bright spots.