Yesterday, well-known companies such as Nokia, Motorola Mobility, Microsoft, IBM and Intel released their latest quarterly results, but the figures were "ugly". The industry said the global economic instability is one of the main reasons for the decline in the performance of technology companies.
Mobile phone industry: two big boat
Data show that Nokia, a well-known mobile phone company in the second quarter of 2013 net revenue 5.695 billion euros (about 7.46 billion U.S. dollars), fell 24.5%, net loss of 227 million euros (about 297 million U.S. dollars), narrowed 83.8%. The quarter, Nokia Lumia smartphone sales of 7.4 million, the chain significantly increased by 32%, but less than the average Reuters analysts expected 8.1 million.
Motorola Mobile's second-quarter results, released yesterday, showed a loss of $342 million trillion in the quarter, compared with a 199 million-dollar deficit last year.
Microsoft: Surface Flat Sales
Microsoft, the software giant, reported yesterday that Microsoft's latest fiscal quarter revenue was $19.896 billion, up 10% from a year earlier, with a net profit of $4.965 billion trillion, compared with a net loss of $492 million last year. But its share price fell nearly 6% as Microsoft's performance failed to meet Wall Street analysts ' expectations.
Although the year-on-year loss, but surface RT tablet is still a heart of Microsoft. Microsoft said the financial quarter's results had been credited with spending 900 million of billions of dollars on surface's RT-PC inventory adjustment.
It is understood that Surface RT market sales than expected. To that end, Microsoft cut the price of the 32GB version of Surface RT flat from 499 US dollars to $349 and lowered the 64GB version to $449.
Intel: Net profit fell nearly 30%
Meanwhile, Intel, the chip giant, released its second-quarter earnings in fiscal year 2013 yesterday, the company's second-quarter revenue was $12.8 billion, down from $13.5 billion a year earlier, and a net profit of 2 billion dollars, down 2.8 billion from the same period last year.
Another it giant, IBM, reported yesterday that its second-quarter revenue was $24.9 billion, down 3% from a year earlier, and a fifth consecutive quarterly decline, with net profit of 3.2 billion dollars, down 17.94% from a year earlier. IBM said yesterday that the decline in revenue was partly due to weak performance in emerging markets.
SAP, the German software giant, yesterday predicted that revenue from software and software-related services would grow at least 10% per cent this year, with an expected increase of 11% to 13%, excluding currency fluctuations.
Industry view
It spending cuts in the second half or worse
The industry believes that the second quarter of this year, a number of IT companies reported a decline in performance, mainly because of the current global economic development is not stable, it spending has fallen accordingly.
In 2013, global IT spending is expected to grow 4.9% per cent year-on-year, lower than 2012 's 5.6%, and lower than its previous estimate of 5.5%, according to a report published in May this year. IDC also predicts that global PC shipments will continue to slide as users move to mobile devices. Meanwhile, IDC now expects global IT spending to be $2.06 trillion trillion this year. Information and communication technology (ICT) spending, including telecoms, is expected to grow 4.5% per cent year-on-year, to $3.7 trillion trillion.
The industry believes that in order to cope with the current market weakness, including Nokia, IBM, Motorola Mobile and other companies have been through layoffs, sale of assets, such as the "burden", but if the overall market does not recover, the second half of this year, the days of technology companies or more sad.