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Outgoing Intel CEO knocks Windows 8, predicts $200 touch PCs this year

Gregg Keizer | April 18, 2013
Intel's outgoing CEO took a few parting shots at Microsoft's Windows 8 Tuesday as he explained a slump in both revenue and profits for the first quarter.

Gartner, which recently questioned whether Microsoft's Windows 8 strategy could keep the Redmond, Wash. firm among the small circle of influential technology companies, dubbed what Otellini called "ultrathin" as "ultramobile" instead to separate them from bulkier, heavier laptops.

Shipments of ultramobiles, Gartner has forecast, will jump 140% this year to 23.6 million from 2012's 9.8 million, largely due to lower prices, touch, and the Haswell processor line.

According to rival research firm IDC, PC shipments were down 14% in the first quarter of 2013 from the same period the year before. Its analysts largely blamed Windows 8 for the decline, claiming that consumers, confused by the new OS, had delayed purchases of new PCs or simply moved on to tablets.

Other analysts have countered IDC, instead pegging high touch system prices as the culprit.

Intel posted revenue for the quarter of $12.6 billion, down 2.5% from last year. Meanwhile, Intel said, the quarter's $2 billion profit was off 25%.


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