30th October 2026 – (New York) Intel tumbled about 25 per cent in early trading after forecasting fourth‑quarter revenue of between $15 billion and $16 billion, well below analysts’ expectations, sending shockwaves through technology markets. The guidance sharpened concerns over a softer personal‑computer cycle and the heavy investment needed for AI infrastructure, overshadowing a solid third quarter in which data‑centre sales surged.
The slump cascaded across chipmakers and hardware suppliers, with major US and European semiconductor names sliding and server manufacturers also under pressure as investors reassessed exposure to the AI supply chain. Market commentary characterised the mood as “sell first, ask questions later,” amid fears that weakness in PCs could persist into 2027.
Intel’s finance chief David Zinsner paired the outlook with a warning that cash flow would remain constrained this year, while noting the company’s quarter beat guidance and that data‑centre revenue grew at its fastest pace in years. The company added that the fourth‑quarter view reflects continued PC headwinds and the impact of an incident at its Kiryat Gat facility in Israel, estimated to trim roughly $300 million from revenue.
Chief executive Lip‑Bu Tan reiterated that the turnaround remains a multiyear effort, as Intel invests in manufacturing capacity and customer‑specific silicon while navigating export controls and tight component supply.
