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Intel on Tuesday reported that its first-quarter net income fell 12 percent year-over-year, although revenue was in line with analyst expectations.

The company’s net income was US$1.4 billion for the first quarter, ending March 29. Earnings per share were $0.25, an 11 percent drop compared to last year, but in line with expectations of analysts polled by Thomson Financial.

The company reported revenue of US$9.67 billion, a 9 percent increase compared to last year, and just a hair over analyst estimates of $9.63 billion.

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Xerox’s research arm Monday showcased its latest innovations, including erasable paper and tools that make documents “smart” by adding a deeper meaning to words and images.

Since its establishment in 1970, the Palo Alto Research Center, funded by Xerox, has created numerous technologies available on PCs today, including Ethernet, the graphical user interface (GUI) and the computer mouse. The laboratory, with other Xerox research facilities, is now trying to help its parent company and other start-ups by focusing on printing and other innvoations to access, use and secure electronic documents.

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The deadline Microsoft gave Yahoo for making a deal or facing a proxy fight came and went this weekend without a word from either party. But even if Microsoft doesn’t succeed now in its bid for Yahoo, the company made clear last week, both in private meetings with reporters and in public comments, that it’s determined — come hell or high water — to move forward with its services strategy.

In the thick of its battle for Yahoo, some Microsoft executives made time to host reporters at the Redmond, Washington, campus, and provided a snapshot of the company’s strategy. A common thread woven through many of the meetings, which included discussions about Microsoft’s evolving development platform, Windows Server, virtualization and security, was Microsoft’s “software plus services” strategy.

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