Intel Sees High-Tech Slowdown in 2Q; Recovery in 2nd Half
TAIPEI (Dow Jones)--The high technology sector will face a continuing slowdown in the second quarter, but is expected to recover gradually in the second half, top executives of Intel Corp (Singapore: INTC.SI - news). (INTC) said Monday.
"The second quarter is also typically a seasonal low for the high-tech sector," said Ron J. Smith, Intel's senior vice president at a forum in Taipei, where Intel unveiled its 1.7 GHz Pentium 4 processor.
Pentium 4 is Intel's highest performance desktop processor that will reinforce the processing of digital equipment, the company said. It declined to comment on the pricing policy for the new product.
Jason Chen, vice president of Intel's Asia-Pacific sales and marketing group told the forum that regional consumption is expected to continue growing this year.
"While some Taiwanese and Korean exporters to the U.S. and Europe have been affected by the economic recession, we expect growth in China and India to remain strong," said Chen.
Patrick P. Gelsinger, the chief technology officer, says Intel will keep investing, particularly during the slowdown. "Our strategy is to be stronger coming out of the slowdown than when we went into it," he added.
Intel will spend US$7.5 billion in capital investment and US$4.2 billion in research and development in 2001, the company said. |
