Revenue at Intel’s UK 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 City AM.
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 UK’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 UK-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 UK”, 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 UK. Together with CoreWeave, that totals 120,000 GPUs deployed here by the end of 2026.”
