Widespread cost cutting and steady demand for computer chips enabled it to improve its performance, the company said.

BBC: Infineon losses narrow

Back in April Qualcomm warned that it is struggling to meet demand for its cutting-edge mobile phone radio chips.

FORBES: Magazine Article

Companies across the chips sector have been cutting forecasts for the quarter.

FORBES: Daily Wrap

Both intend to make chips with the latest cutting-edge technologies.

FORBES: Intel And Globalfoundries To Create 2,400 Tech Jobs In U.S.

Huge contract manufacturers like Flextronics and Solectron are buying more parts directly from suppliers, cutting out distributors, while prices for chips (half of Arrow's total sales) drop 30% annually.

FORBES: Stuck in the Middle

With no loss of performance Sony, for example, has gradually reduced the number of chips inside the PlayStation 2, cutting costs and enabling it to sell the consoles at a profit.

ECONOMIST: Microsoft

At the cutting edge, new studies of virus evolution and chips housing tiny cell cultures will improve our capacity to sort through the viral chatter and determine if a newly identified outbreak has the potential to spread globally or is likely to fade away.

ECONOMIST: Science

"We'll also fund additional research in cutting-edge methods of producing ethanol, not just from corn but from wood chips and stalks and switchgrass, " the president promised.

NPR: Study Boosts Switchgrass as New Alternative Fuel

We will also fund additional research in cutting-edge methods of producing ethanol, not just from corn, but from wood chips and stalks or Swiss grass.

NPR: Slate's Politics: State of the Union Specifics