But demand appears to be weaker than expected due to softness in China, uncertainty in Europe as well as lingering weakness in the U.S. personal computer market. Competition has also increased, with price cuts in the PC business because of the growing popularity of Apple Inc. 's ( AAPL ) iPad and other tablets. Additionally, Advanced Micro faces growing competition from Intel's ( INTC ) IvyBridge, as well as its growing capacity and lead at 22nm. Advanced Micro is the second largest producer of microprocessors, GPUs and chipsets in the world. The company reported revenues of $1.59 billion in the first quarter, down 6.3% sequentially and 1.7% year over year. However, earnings of 17 cents a share were well ahead of the Zacks Consensus Estimate of 9 cents. The company's compelling product line-up, new products (Brazos, Llano and Bulldozer), growing position in graphics and cost efficiencies should drive improved results going forward.