Intel processor shortages to continue into 2Q19 says ASUS

I cant see how there is a shortage now that Intel is even less competitive than it used to be in the past and there are plenty of ryzen CPU's available at much better prices.

 

In the eyes of OEMs and vast majority of consumers all CPUs are belong to intel. . .

 

"Shortages" keeping their prices up just when AMD starts being competitive or even beating them... sounds fishy.

 

One would think some of that demand increase for high-margin large-die Core and Xeon CPUs would spill over to AMD. Yet...

OTOH numbers don't lie.
(Q3 2018 Financial results)

Are you implying that shortages are artificial, or even worse - a complete lie?
That on top of Intel losing market share to AMD, Intel is hellbent on purposely losing even more market by jacking up prices and withholding their products?

Where is the logic in that?

 

How does TSMC have so much capacity that now they are even manufacturing for Intel as well? It's weird Intel can't handle even its own products while TSMC can handle God only knows how many, including the likes of Apple, Nvidia, and newest AMD ones.

 

Fingers crossed this is a chance for AMD to catch up...

 

TSMC has a working 7nm process though. Intel probably thought they'd have 10nm working by now so didn't invest into expanding their 14nm fabs. They're also fabbing chips for Apple and the 300-series chipsets were also produced on 14nm.

In short, it comes down to 10nm. If they knew that they'd be on 14nm for this long then I'm sure they'd have invested more into it.

 

Not having 10 nm working and going gang busters is really going to hurt them.

AMD also most went under from delays and missed expectations from fabs, not that Intel is in that sort of trouble.

 

It would appear that while AMD is skipping 10nm and going straight to 7nm, that Intel has already spent lots of money and time trying for 10nm. Retooling fabs for new production processes is hugely expensive and excessively time consuming. Intel management is nothing if not stubborn--it took Intel many years to realize they weren't going to succeed at running AMD out of business, after all--you almost can't blame the company for that sort of thing, considering how successfully Intel ran every other x86 cpu manufacturer out of business with the same kind of tactics. So Intel apparently feels it has put too much into 10nm to abandon it just yet. We shall see...

 

Their "shortage" is a well orchestrated supply and demand control. So they won't have a glut of 14nm stock to move when they finally go to 10nm market. Plus with a perceived shortage of Intel cpu's, their 10nm cpu's will fly off the shelves.

 

Servers demand is the answer. There are a lot of companies that are upgrading their servers and there are others who just can´t get their hands on enough CPUs for their servers, companies like Google, Facebook and so on. Intel simply can´t cope with the huge server demand they have right now. Great chance for AMD to shine and make lots of money.

 

Here's what I don't get:
To my knowledge, there are still plenty of Skylake and Kaby Lake models in stock. They have pretty much the same IPC as 8th and 9th gen parts. If something with the proper core count is still in stock, why aren't people just buying those instead?

I understand the point made here, but in another perspective, that's bad news for Intel in the sense that someone looking to make a new purchase now won't be able to, and is forced to go to a competitor (not necessarily AMD). In other words, Intel might have the benefit of selling everything they make, but there are also potential sales they won't be making either.

 

@schmidtbag : If Intel was not so stubborn about there pricing, the would be selling the "older" cpus.

A slight discount would sell them I think.

 

Very good point - it baffles me how little they change their prices over the years. But, even though something as old as a 4770K is still being sold for around its original MSRP, I think the motherboards have come down in price, the RAM is cheaper, and the performance is still good by today's standards.

 

Well Intel can´t have it all...

 

Nor should they. I'm just saying that selling out of all of your products at a time with hefty competition is, in my opinion, not entirely a good thing.

 

It's definitely not ideal, but Intel is choosing the best course of action for their shareholders: prioritizing their server and high-end customers with high-margin products. Also, why should they lower prices for older products when those products are still selling well at their current prices? Shortages typically drive prices up, and Intel has no obligation to make things cheaper for enthusiasts (that would only eat into their margins). Making enthusiasts happy is not Intel's goal - like all publicly-traded companies, they are focused on making as much money as possible for their shareholders.

 

But that's my point - they're not selling well. They're still in stock, despite not being in production for over a year. So to me, it doesn't make sense why people aren't buying these older products since the performance isn't a whole lot different to modern generations (maybe not so much Haswell, but Skylake and Kaby Lake anyway, and arguably Broadwell).

I know all of that. I'm not sure where people are getting the impression that I'm implying things should be different... I'm just stating a simple fact (that running out of stock isn't necessarily a good thing). I'm not complaining about anything or saying how things should be done; I understand there's not much Intel (as a whole) can do about the situation they're in. Sure, it sucks that prices are higher, but it's not my problem - I wasn't planning on buying anything Intel related whether there was a S&D issue or not.

 

No wonder there is not a single i9 9900k to be found in US :/ , you cannot buy it anywhere right now. I got lucky and snatch one from Amazon on early pre-order , as of now the next batch should arrived at Amazon by end of December or early days of January 2019 as per their own customer reps that's what they told me.