Revenue at Intel's º£½ÇÊÓƵ division has been slashed by nearly $1.5bn (£1.1bn) whilst profits tumbled significantly during the latest financial year.
The British arm of the American technology behemoth recorded turnover of $3.3bn for 2024, a steep decline from the $4.7bn generated in 2023, as reported by .
Fresh filings lodged with Companies House reveal pre-tax profits were slashed from $190.4m to $91m across the same timeframe.
Intel hit by rising competition
In a board-approved statement, Intel explained: "The decrease in revenue was largely driven by a decline sales of data centre and AI, network and edge group, client computing group and Altera products."
"The decline was driven by a competitive environment, macroeconomic challenges, consumption weakness, demand softness and persistent inflation.
"The decrease in revenue led to a reduction in profit for the financial year 2024.
"During the year 2024, Intel Corporation announced the implementation of cost-cutting measures, including a slower pace of hiring and restructuring actions, designed to reduce operating expenditures and manage the business towards the long-term financial model."
These figures for Intel's British operations emerge as City AM previously reported that competitor Nvidia plans to inject up to £11bn into the º£½ÇÊÓƵ's artificial intelligence infrastructure.
The investment will establish Europe's most substantial GPU cluster by 2026, featuring 120,000 of its cutting-edge Blackwell Ultra processors distributed across fresh data facilities. The chip behemoth will collaborate with partners such as Microsoft, CoreWeave and º£½ÇÊÓƵ-based Nscale to expand the nation's sovereign compute capacity, a resource increasingly seen as vital for national competitiveness.
"This is the biggest single investment by a technology organisation in the º£½ÇÊÓƵ", stated David Hogan, Nvidia's vice president for enterprise EMEA.
"We're enabling our partners to deploy 300,000 GPUs globally, and 60,000 of those will be in the º£½ÇÊÓƵ. Together with CoreWeave, that totals 120,000 GPUs deployed here by the end of 2026."
