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Intel interim CEO says chipmaker has the supply to meet its full-year revenue outlook

Key Points
  • Intel's interim CEO, Bob Swan, says the chipmaker has enough supply to meet its full-year revenue outlook in a letter posted on the company's website Friday.
  • On July 26, Intel gave 2018 full year non-GAAP sales guidance of $69.5 billion.
Intel shares jump on CEO letter
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Intel shares jump on CEO letter

Intel's interim CEO, Bob Swan, says the chipmaker has enough supply to meet its full-year revenue outlook.

"We continue to believe we will have at least the supply to meet the full-year revenue outlook we announced in July, which was $4.5 billion higher than our January expectations," he wrote in a post entitled "Supply Update" on the chipmaker's website Friday.

Intel shares closed up 3.1 percent Friday.

On July 26, Intel gave 2018 full year non-GAAP sales guidance of $69.5 billion.

Swan said the company is "making progress" in its transition to the 10-nanometer manufacturing process and expects "volume production" in 2019.

One nanometer equals one-billionth of a meter. Smaller nanometer chipmaking technologies historically have allowed companies to create faster, more power-efficient chips.

Earlier this month, J.P. Morgan said Intel isn't making enough processor chips to meet demand and that will be a problem for PC sales this holiday quarter. The firm estimated the Intel processor and chipset shortage will hurt fourth-quarter PC shipments by 5 to 7 percent.