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The statistics highlight Intel’s revenue by segment from Q1 FY 2016 to the latest quarter.
Intel Corporation, founded in July 1968, is a multinational technology company headquartered in California. The company is the world’s largest manufacturer of semiconductor chips and series of microprocessors used in most personal computers (PCs) and supplier of processors for computers to major computing companies like Apple, Lenovo, HP, and Dell. The company faces stiff competition from Nvidia, Advanced Micro Devices (AMD), VIA technologies in PC chipsets market.
The company’s principal operating and revenue-generating segments are divided into two major groups. The PC-centric group includes Client computing group and the Data-centric Group, includes Data center group, Internet of things group, Non-volatile memory solutions group, programmable solutions group.
Intel Corp. diversified their computer processor market as these processors are not lucrative for the companies with higher workloads. So, the company manufactures platform products designed for use in notebooks, tablets, phones, and other mobile communication products. This segment contributes around 51% of total revenue by the company.
Q4 FY 2019 reported the revenue of $10.01 billion, up by 2% compared to Q4 2018 because of the higher sale of modems and desktop platform volumes. During the year 2019, the company recorded the sale of Intel’s more top performance products and strengthened its gaming and commercial modem segment. Though the company recorded YoY lower platform volume but got partially offset by the retail market as the PC market remained stable. The revenue has grown from $34 billion in 2017 to $37.1 billion in 2019, the reason attributed to steady growth in selling prices, and an increase in demand from emerging markets.
This group deals with the sale of processors and chipsets, which specially designed for enterprise, cloud, communications infrastructure, and technical computing segments.
The year 2019 witnessed exponential growth from Q2 onwards. Q4 FY 2019 scored revenue of $7.2 billion, grew by 19% from Q4 2018 because of robust demand from cloud service provider customers and acquisition of Habana labs to strengthen its artificial intelligence portfolio. Revenue, from $19.1 billion in 2017 grown to $23.5 billion in 2019 because of the expansion of cloud computing infrastructure and communications provider companies. This year, the cloud segment grew 5 percent while the communications service provider segment declined 4 percent, and enterprise and government revenue fell 21 percent.
This group earns revenue from the sale of designed platforms for application embedded in medical, automotive, industrial, and other market segments as well as from software-optimized products for mobile market segments.
IOTG also reported an exponential growth this year from $910 million in Q1 to $1.37 billion in Q4. The group mainly focussed on the broad strengths of the retail and transportation segment. This group saw the growth from $3.2 billion in 2017 to $4.7 billion in 2019 because of the demand for embedded systems across multiple sectors.
These two groups considered as others by Intel Corp., where revenue comes from software products for endpoint security, risk and compliance, network and content security, and software products and services that promote Intel architecture as a platform choice for software development.
Though PSG reported a steady growth in the year 2019, but Q4 revenue dropped by 17% from Q4 2018. Whereas, NSG was hiked by 10% YoY on continuous growth in NAND and Intel Optane memory. Revenue from this segment has gone from $6.5 billion in 2017 to $6.6 billion in 2019.
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* Billed annually, local taxes extra.
* Local taxes extra.