1.   All revenue came from chip sales to customers, including C-Phone.

2.   But the company gave wary investors other reasons for concern, reporting stagnant chip sales and projecting a relatively soft holiday season.

3.   But while Amelio did return National to profitability, he did so during the greatest surge in chip sales in history.

4.   Chip sales started picking up in September as personal computer makers starting ramping up production of new machines for the holiday sales season.

5.   Elsewhere, ADRs of Japanese electronics companies rallied on news that chip sales are surging, according to Toyo Keizai, a financial information and forecasting services company.

6.   He added that a glut of personal computer inventory, which hurt chip sales, is starting to ease up, which should lead to more chip demand.

7.   Historically, chip equipment sales are slow in the summer, said Lam chief executive Jim Bagley.

8.   Hutcheson, on the other hand, thinks chip sales will rebound in the second half, led by personal computer sales.

9.   Industry watchers fear that weakened chip sales will lower demand for networking equipment.

10.   It also has faced a slowdown in chip sales to customers ranging from carmakers to personal computer companies, who are all experiencing waning demand for their goods.