Monday, October 22nd 2018
Intel Ropes in Vietnam and Ireland to Increase Processor Volumes
Intel late last week released a PCN (product change notification), which stated that it has assigned its manufacturing facilities in Vietnam as an "additional site for test and finish." This would entail final quality assurance testing of its nearly-ready products and "finishing," which involves final retail packaging. The Intel facility in Vietnam will work in concert with its largest Asian manufacturing facility, located in Malaysia. "While Assembly, Test and Finish will continue to be done in PGAT (Malaysia), Intel will also have assembled material sent to VNAT (Vietnam) to perform the Test/Finish portions of the manufacturing process. Please note that Vietnam has been certified equivalent (form, fit, function, and reliability) for the affected products and technologies of this change," the PCN reads.
The products named in the PCN are the company's new flagship MSDT processor, the 8-core/16-thread Core i9-9900K, the second-best 8-core/8-thread Core i7-9700K, and the 6-core/-6-thread Core i5-9600K. "Fab, Sort and Assembly Test Manufacturing follow a philosophy, enables delivery of product from multiple production sites, which operate as a virtual factory that performs consistently and independent of the manufacturing source site. Additional benefits include faster production ramps that improve product availability and improved consistency to quality performance," it concludes. Intel had, earlier this year, raised its capital expenditure by an additional $1 billion YoY to around $16 billion, in a bid to increase its volumes as the industry faces supply shortages from Intel, which the company claims is due to "increased demand," rather than a short-supply. Intel has also roped in its small foundry located in Leixlip, Ireland.According to Irish publication The Independent, Intel's Fab 24 facility in Leixlip will get a piece of its $1 billion capex boost, to manufacture 14 nm++ processors, which could include its "Coffee Lake" and "Coffee Lake Refresh" processors. Intel's investment in Ireland is expected to increase as the company plans to expand Fab 24, which could create an additional 4,000 jobs. The expansion project could cost around €50 million in the short term, however Independent predicts that the company could pump an additional €2 billion in a separate transaction, in response to tax-breaks from the island nation.
Sources:
Intel (PDF), Independent.ie
The products named in the PCN are the company's new flagship MSDT processor, the 8-core/16-thread Core i9-9900K, the second-best 8-core/8-thread Core i7-9700K, and the 6-core/-6-thread Core i5-9600K. "Fab, Sort and Assembly Test Manufacturing follow a philosophy, enables delivery of product from multiple production sites, which operate as a virtual factory that performs consistently and independent of the manufacturing source site. Additional benefits include faster production ramps that improve product availability and improved consistency to quality performance," it concludes. Intel had, earlier this year, raised its capital expenditure by an additional $1 billion YoY to around $16 billion, in a bid to increase its volumes as the industry faces supply shortages from Intel, which the company claims is due to "increased demand," rather than a short-supply. Intel has also roped in its small foundry located in Leixlip, Ireland.According to Irish publication The Independent, Intel's Fab 24 facility in Leixlip will get a piece of its $1 billion capex boost, to manufacture 14 nm++ processors, which could include its "Coffee Lake" and "Coffee Lake Refresh" processors. Intel's investment in Ireland is expected to increase as the company plans to expand Fab 24, which could create an additional 4,000 jobs. The expansion project could cost around €50 million in the short term, however Independent predicts that the company could pump an additional €2 billion in a separate transaction, in response to tax-breaks from the island nation.
21 Comments on Intel Ropes in Vietnam and Ireland to Increase Processor Volumes
However, that can ultimately lead to quite a sharp drop in prices due to offer VS demand ...
less than a month ago they was playin the "shortage" game to build justification for god-awful high launch prices....
NOW all of a sudden they are supposedly ramping up other fabs to correct their own stupido faults.....
stinks to high heaven IMHO, but doesn't surprise me one little bit.....
The reason for the constrained supply has been stated, and it makes sense. For quite a long time Intel was manufacturing their CPUs on 14nm, and motherboard chipsets on 22nm. Recently they had started producing their chipsets on 14nm; this caused supply issues for processors.
Indeed, as i have always stated i am a freaking Intel Fanboy no matter what but as @hat already said i am having my second thoughts and to be honest i am almost 200% sure that this time i am not going for a 9xxxk series, honestly i love Intel even if prices are crazy that has never been a problem but this time and from my point of view it is not worth to buy a 9xxxk series, i cant believe that after many years of been a true Intel's Fanboy it is hard to say that i am in some kind of way disappointed.
Having said that however, I will say I have been, and continue to be, very disappointed by the last few generations of chips and their prices, from which they have given us only marginal overall performance improvements for ever increasing costs....
The last chip I bought was a skylake 6700K, which I waited for almost a year after its release and paid what I thought was a fair price for it ($199) at the time. Since then, I have been patiently waiting and hoping for some significant improvements that would make me rush to my current rig and order all new components, but that hasn't happened to date, and unfortunately I don't see it happening any time soon either.... what a shame that they have have chosen this path, but oh well, they ain't gettin no moar of my moolah till they get their collective shiitesu together...
Intel's 300-350-ish CPUs went to 480 mark at retailers not because there was no demand for Intel CPUs.
People kept buying them even for 430, so...
I said nothing about hotcakes. Simply pointing out someone wants it.
I passed on it as well.
9900K does. As for 9700k - youre being fed with the same perfomance for the same (sometimes even higher) price
Pss, and you know what? 8700K could be easily pushed up to 4.9GHz allcore. And up there, I dunno if 9700K still keeps it’s 2nd place