ELECTRONICS FIRM Toshiba said weakness in flash memory and costs associated with exiting the HD DVD business will affect its profits in the financial year to March.
Instead of a forecast profit of of ¥180 billion, it will turn in ¥125 billion in profits.
NAND flash accounts for some of the pain – it is the second biggest worldwide manufacturer after Korean firm Samsung. ♣
CHIP GIANT Intel said it won’t make as much gross margin as it wanted to in its first financial quarter, because the price of flash memory continues to slump.
The prices of both flash and DRAM have shown signs of eroding away to nothing over the last year, with even the big players – the Dramurai – hurting from the falls.
Intel (tick:INTC) lowered its margin forecast to about 54 per cent, down from the 56 per cent it had expected.
Still, the world+dog would die for gross margins like that, and sales of its CPUs haven’t been affected, it said in a statement.