Intel's Grove: 'This is the toughest situation of my career'

Intel chairman Andy Grove has described the current economic climate as the "toughest business situation" of his illustrious career.

Although he claims to have foreseen the collapse of the dot-com bubble, he admits that the severity of the slump has come as a shock.

In an interview with the Sunday Business, he said: "I anticipated that the hype about the new economy was unrealistic, but did not anticipate the suddenness and depth of the downturn."

He still believes that the internet will be at the heart of all businesses in the future, claiming that every company "will be an internet company" as it evolves as a ubiquitous platform for B2B and B2C transactions.

Although Intel's share price has fallen 60 per cent from its peak in September 2000, Grove is convinced the company is on the right track.

"Our challenge is to come up with chips that satisfy demand several years in advance. What we are about is creating chips that are faster, use lower power, are distinguished by their usability and anticipate what the market needs years from now," he said.