Intel’s last quarter revenue was a disaster in both the client and server segments. The Client Computing Group’s (CCG) revenue was down by 36%, with the operating income dropping by 82% to just $0.7 billion in Q4’22 from $3.8 billion last year. The revenue declined from $10.3 billion in the last quarter of 2021 to $6.6 billion in Q4’22. Shrinking market demand and a steep reduction in unit sales were recurring themes of Intel’s earnings report.
The Client Computing Group saw the launch of the 12th Gen Alder Lake notebook CPUs and the 13th Gen Raptor Lake desktop lineup. Consequently, the average market prices (ASPs) rose to an all-time high in the fourth quarter of 2022 with a bump of 11% YoY. Notebook revenue decreased by $6.7 billion (YoY) to $18.8 billion in 2022.
Notebook unit sales fell by 36% because of lower marketwide demand as market prices (ASPs) increased by 15% due to the introduction of premium Alder Lake-H and HX offerings. On the other hand, Desktop revenue recorded a nominal drop of $1.8 billion to $10.7 billion in 2022. Intel Core desktop CPU unit sales were down by 19%, partially offset by a 5% increase in the average selling price (ASP).