Intel Corporation last night raised its lowest previous estimate of revenues for the fourth quarter of this year, writes Conor O'Clery in New York.

In an update of its business outlook for the October-December period after the markets closed yesterday, the world's biggest chip-maker said it expects revenue for the fourth quarter to be between $6.7 billion and $6.9 billion, as compared to the previous range of $6.2 billion to $6.8 billion. "Demand for Intel microprocessors has been better than expected, trending in line with normal seasonal patterns," said Intel.

The company also stated its communications businesses "have been tracking to the company's overall expectations at the beginning of the quarter".