Intel posts Q3 2026 revenue of $16.513B, guides Q4 to $15–16B

Intel reported third-quarter 2026 GAAP revenue of $16.513 billion and operating income of $2.522 billion on October 29, according to techm.kr. Revenue rose 21% and operating income rose 269% year on year.

Gross margin was 43.0% and operating margin was 15.3%. Client Computing and Physical AI Group revenue was $8.097 billion with operating income of $2.285 billion, down 5% and 15% year on year. Data Center and AI revenue was $7.318 billion and operating income was $3.039 billion, up 78% and 215% year on year.

Intel Foundry revenue was $6.697 billion with an operating loss of $1.853 billion, revenue up 58% year on year. For the fourth quarter of 2026, Intel guided revenue of $15–16 billion and gross margin of 38.0%, and forecast a semiconductor shortage lasting until 2028.

Server and process roadmap

Intel said it will supply server CPUs, including Diamond Rapids, to Oracle Cloud. It detailed its D-series (Crescent Island) GPU for AI inference, said mass production of Clearwater Forest, its first 18A server product, is proceeding smoothly, and released the 14A processor design kit while strengthening cooperation with ASML. Intel said an accident at its Israeli fab earlier this month will hurt fourth-quarter server product shipments.

Intel said 2026 capital expenditure is $20 billion and next year's will be higher. In the third quarter, Intel entered Google's Googlebook. The PC market has been weak since the first half of 2026, with a 12% full-year decline expected, and Intel expects the PC market to shrink 10% year on year in 2027; it expects the server CPU market to grow from $40 billion this year to more than $200 billion within five years.