Intel’s 2Q14 Quarterly Report

choi

Quentin Hardy, Intel Exceeds Estimates on Improving Demand for PCs; Making money in traditional businesses to pay for the future. New York Times, July 16, 2014.

The last three paragraphs:

“Intel’s PC group revenue was $8.7 billion, a 6 percent improvement year over year, while data center revenue, which is primarily from server chips, was $3.5 billion, up 19 percent. * * *

“Some of the newer businesses did not fare so well. Revenue in the mobile and communications group was $51 million, a drop of 83 percent from a year before. Intel lost $1.1 billion in that business, compared with a $761 million loss a year before.

“Mr [Brian] Krzanich[, Intel’s chief executive,] said intel would soon have products better suited for the mobile market. ‘We believe long term we can make a profitable business,’he said, adding that it was strategically important that Intel understand and sell into the mobile computing market.

My comment:
(a) Regarding quotation 2. How can it be possible, selling 53 million but losing $1.1 billion?
(b) There is no need to read the rest.