Intel shares plunge 28%, dragging down global chip stocks
Global semiconductor stocks fell Friday after a lackluster set of results from U.S. chip firm Intel sent its shares cratering, and a global market sell-off weighed on some of the biggest names in the tech sector.
Global semiconductor stocks fell Friday after a lackluster set of results from U.S. chip firm Intel sent its shares cratering, and a global market sell-off weighed on some of the biggest names in the tech sector.
Intel shares fell 28% in morning trading on Friday, after the company reported a big miss on earnings in the June quarter and said it would lay off more than 15% of its employees as part of a $10 billion cost-reduction plan.
A number of major U.S. chip names also dropped on Friday in U.S. premarket trade, with Nvidia trading around 4% lower. Adding pressure to the stock is a report from The Information that Nvidia is the subject of a U.S. Department of Justice antitrust investigation.
The DOJ is looking at complaints that the chip giant allegedly abused its market dominance in artificial intelligence chips, The Information reported.
In response, a spokesperson for Nvidia said that the company “wins on merit.”
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