Intel's invincibility is starting to wane, as the world's largest computer-chip maker has announced in the third quarter a 14% fall in profit compared to the same time last year.

Revenue for the company was $13.5 bn, down from $14.2 bn a year ago. The company has blamed the plunge in profits on the current economic crisis, but another reason is the increasing demand for tablets over computers. Most tablets do not use Intel processors, instead using cheaper chips similar to the ones used on smartphones.

Similar to Hewlett Packard, the PC maker who announced recently that their earnings would decline in 2013, Intel had pinned hopes on Ultrabook sales taking off. So far this has not been the case, with the high-end laptops struggling to compete with increasingly popular tablets such as the iPad.

Intel is looking to get a firmer foothold on the tablet market with Windows 8, Microsoft's operating system that has been designed for both tablets and PCs.

The company's shares fell 3.5% in extended trading in New York after the release of the results.

Written and presented by Alfred Joyner