Console Chips Boost IBM Quarter

Console Chips Boost IBM Quarter

Console Chips Boost IBM Quarter

IBM has reported higher-than-expected fourth quarter results, partly thanks to a 48 percent increase in the microrelectronics division, which develops videogame console chip technology.

The strong demand for console chips helped IBM rake in $3.2 billion for the quarter, or $2.01 per share – 7 cents higher than analysts expected. Income for the quarter increased 19 percent.

IBM makes the main processor for the Xbox 360, and helped co-develop Sony’s Cell chip, which will be used in the PS3. IBM recently extended its chip development partnership with Sony and Toshiba for another five years. The company has also worked with Nintendo in creating the "Broadway" CPU for the upcoming Revolution console.