Intel Corp. lowered its profit forecast for its fiscal first quarter, blaming the shortfall on a steeper-than-expected drop in prices for memory chips. The company said that slumping prices for a type of memory called NAND flash depressed profits more than anticipated. NAND flash is commonly used in portable electronic devices like digital cameras and MP3 players.
Intel said its gross profit margin would come in at 54% of revenues, plus or minus a percentage point. That's down from its previous forecast of 56%, plus or minus a couple percentage points.
The company said its other guidance had not changed, including its expectation of revenue between $9.4 billion and $10 billion for the quarter. (AP)