Continued from page 1

Intel said it expects about $13.6 billion in fourth-quarter revenue, below the analyst forecast of $13.7 billion. More significantly, it said it expects a gross margin of 57 percent, well below the average for the last three years of 64 percent. The gross margin is Intel’s revenue minus the cost of making and selling the chips, so the lower forecast points indirectly to lower profit in the fourth quarter. The reduction is due to lower utilization of its factories, and a shift toward to a new processor technology, which will idle some factories for retooling.