Weak economy impacts Intel's revenue

Intel has blamed a challenging economy for struggling sales after reporting quarterly revenue of US$13.5 billion for the third-quarter.

The corporation endured a revenue and profit drop during the quarter of fiscal 2012 compared to the same period last year, blaming a weakened marketplace for poor sales.

Posting an operating profit of US$2.97 billion ending September 29, the company recorded a drop from $3.47 billion in 2011, with their revenue falling from $14.2 billion.

"Our third-quarter results reflected a continuing tough economic environment," says Paul Otellini, Intel president and CEO.

"The world of computing is in the midst of a period of breakthrough innovation and creativity.

"As we look to the fourth quarter, we're pleased with the continued progress in Ultrabooks and phones and excited about the range of Intel-based tablets coming to market."

The chip making company generated approximately $5.1 billion in cash from operations, paid dividends of $1.1 billion and used $1.2 billion to repurchase stock.