AMD is gloomy about PC market

In a preview of the results of the last quarter, chip manufacturer AMD has warned against disappointing results. The American company cites deteriorating market conditions as the main cause.

AMD reports that last quarter sales are likely to fall 11 percent, rather than a previously expected increase of 3 percent. The poor results, according to AMD, are due to disappointing sales in China and Europe, and a shift in consumer interest.

The PC market is suffering from the increasing popularity of tablets. Consumers are increasingly opting for a tablet instead of a PC or laptop, which is why AMD can supply fewer chips to system builders. In addition, AMD hardly plays a role in the tablet market, so it cannot benefit from the rising demand there.