Intel explained the shortage of its CPUs with increased demand, promising to solve the problem with additional investments in expanding production

Interim head of Intel Bob Swan (Bob Swan) published an open letter about the current situation with a deficit in the company's processors, CPU models almost doubled. Svan admitted that the lack of chips is indeed observed, especially in the entry-level segment, as the company focuses on the production of high-performance Xeon and Core processors.

"The unexpected growth of the PC market put pressure on our production facilities. We give priority to the production of Xeon and Core processors to jointly serve high-performance segments of the market, "Bob Swan wrote.

To solve this problem, Intel plans to invest an additional $ 1 billion in existing 14-nm production lines in factories in the US (Oregon and Arizona), Ireland and Israel. Such a financial injection along with other actions should increase the volume of supply of processors to meet the increased demand. As for the 10nm process that was repeatedly delayed, which debuted this year with a limited edition of the processor of the Cannon Lake family (Core i3-8121U), the company's plans have not changed – mass production of such chips will begin in 2019.

Intel CEO also noted, that the first half of this year was quite productive. In particular, revenues from data-driven businesses grew by 25%, cloud products brought the company an additional 43% of profit. This year the company expects PC market growth for the first time since 2011.

Nevertheless, some experts believe that Intel will not be able to solve the problem with its CPU deficit and overpriced in the near future. This situation will continue until at least the second half of 2019.

Source: Intel

  • Intel is planning to order from TSMC the production of some of its chips for the production of semiconductor products in accordance with the standards of 14-nanometer technological process 14-nanometer process technology.
  • In addition, Intel is forced to transfer the release of at least one chipset to an older 22-nanometer process technology.
  • As a result, consumers are increasingly paying attention to AMD chips.

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