Business / Intelthe 1st of November 2026, 12:00 UTC

Intel falls 29% as AI eats PC memory

Intel shares fell about 29% on the 30th of October 2026, the worst day since 1974. Intel forecast weaker sales as AI data centres buy up memory chips that PCs need.

Intel's chips and PC memory

Intel shares fell about 29% on the 30th of October 2026, the chipmaker's worst day since 1974, Yahoo Finance reported. Intel had forecast weaker sales the day before.

AI data centres are buying up the world's memory chips, which pushes up prices for laptops and desktops. That hurts sales of PCs and their Intel chips, Yahoo Finance reported.

Intel forecasts 15 to 16 billion dollars

Intel expects sales of 15 to 16 billion dollars from October to December, the company said. Analysts had expected 17.1 billion, according to LSEG data cited by CNBC.

"We see the PC slowdown continuing at least through the first half of next year," finance chief David Zinsner said in Intel's results release.

Intel now expects PC shipments to fall about 12% this year and 10% in 2027, Yahoo Finance reported.

Data centre sales grow 78%

Intel's sales for data centres and AI grew 78% to 7.3 billion dollars from July to September, the company said. Total sales rose 21% to 16.5 billion dollars.

How much value was lost

Reuters said the fall wiped more than 146 billion dollars off Intel's market value. Yahoo Finance put the loss at nearly 140 billion dollars.

A factory blast adds to the cost

An explosion at Intel's factory in Israel killed two workers earlier in October, CNBC reported. Zinsner said it will cost about 600 million dollars in lost sales over two quarters, CNBC said.

Yahoo Finance put the cost at about 300 million dollars in the October to December quarter.

Below we break down the forecast

The middle of Intel's forecast is 15.5 billion dollars. Analysts expected 17.1 billion, so the gap is 1.6 billion dollars.

That is about 9% below what analysts expected, by our arithmetic.

Intel sales for October to December 2026 in billions of dollars: analysts expected seventeen point one; Intel forecast fifteen to sixteen, middle fifteen point five

Key facts

Intel shares fell about 29% on the 30th of October 2026.

It was Intel's worst day since 1974, Yahoo Finance said.

Intel forecast 15 to 16 billion dollars of sales for October to December.

Data centre and AI sales grew 78% to 7.3 billion dollars.

Intel expects PC shipments to fall about 12% this year, Yahoo Finance said.

Source: Intel results release