Intel’s resellers have said they are not overly concerned about the company’s latest financial figures.
However, they have pointed out that they would have liked to see more money spent on training rather than the marketing budget Intel announced in the wake of its financial announcement.
“We’d love more training but if Intel is blowing its money on marketing we’ll probably only see promotional benefits,” one software reseller told ChannelEye.
His comments come as the company announced that it would be throwing $18.9 billion on research and development, along with marketing and administrative costs, this year, an increase from 2011 when it spent $16 billion in this sector, and up from $18.2 billion last year.
However, that was the only good news for Intel’s resellers and stakeholders with the company
announcing that its profits were down 27 percent in the last quarter.
The company reported a net income of $2.5 billion, down 27 percent from $3.4 billion, a year earlier. Revenue fell three percent to $13.5 billion from $13.9 billion.
However, resellers weren’t phased, hinting they’d been given advance warning.
“Software sales for us have been ok, but we were sent an email two weeks ago warning us of these figures.
“We’re not worried, a bit of pressure from the top is something we can easily handle,” the software reseller added.
Another continued the sentiment and support for the company, claiming: “It’s not affected us up to this point.
“We’ve still gained support and training as promised. I assume there will now be pressure however to ensure we sell as much as possible. Maybe Intel should invest more in products and training, which would help us sell more and boost revenues.”
In the last six months, shares of Intel have fallen about 18 percent. Although this could be put down to the economic climate, it is more likely that the company has failed to impress with its shiny, all dancing Ultrabooks, which retailers yesterday said were still stagnating on shelves as a result of consumers demanding higher spec features over fashion based products.
And while some resellers have stayed loyal to their mother ship, one was a little bit more outspoken telling ChannelEye: “The news isn’t the best, of course it’s not. But the fact that the company has said it will be spending more on development and marketing can only be a good thing for us. Whether or not there’s more pressure on us to work harder to tighter margins remains to be seen.
“In terms of training, we do receive a fair bit but some of it is expensive. What we need is free workshops that have been taken out of a budget somewhere. However I doubt that’ll happen anytime soon.”