Error In Intel Sandy Bridge 6-Series Processors May Cost $1 Billion

Posted Jan 31, 2011

The Sandy Bridge processors manufactured by Intel Corporation (NASDAQ:INTC) has some flaws. Intel has halted their chipset shipments until a bug free version starts shipping out next month. “In some cases, the Serial-ATA (SATA) ports within the chipsets may degrade over time, potentially impacting the performance or functionality of SATA-linked devices such as hard disk drives and DVD-drives,” said Intel in a statement.

For those who have already bought devices with the Sandy Bridge processor, they will work with OEM partners to accept the returns. This will cost Intel $300 million in first quarter revenue and $700 million in repair/replacement costs. Intel said that they will make up for the lost revenue by the end of the year.