Thursday, August 4th 2022

Intel Arc Board Partners are Reportedly Stopping Production, Encountering Quality Issues

According to sources close to Igor Wallossek from Igor's lab, Intel's upcoming Arc Alchemist discrete graphics card lineup is in trouble. As the anonymous sources state, certain add-in board (AIB) partners are having difficulty adopting the third GPU manufacturer into their offerings. As we learn, AIBs are sitting on a pile of NVIDIA and AMD GPUs. This pile is decreasing in price daily and losing value, so it needs to be moved quickly. Secondly, Intel is reportedly suggesting AIBs ship cards to OEMs and system integrators to start the market spread of the new Arc dGPUs. This business model is inherently lower margin compared to selling GPUs directly to consumers.

Last but not least, it is reported that at least one major AIB is stopping the production of custom Arc GPUs due to quality concerns. What this means is yet to be uncovered, and we have to wait and see which AIB (or AIBs) is stepping out of the game. All of this suggests that the new GPU lineup is on the verge of extinction, even before it has launched. However, we are sure that the market will adapt and make a case for the third GPU maker. Of course, these predictions should be taken with a grain of salt, and we await more information to confirm those issues.
Source: Igor's Lab
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133 Comments on Intel Arc Board Partners are Reportedly Stopping Production, Encountering Quality Issues

#76
Bomby569
zlobbyAnd how did it go for them? ;)
I don't know the man, but i think he is worthless, not so much because of the CPU's, the legacy he got was a disaster, but on the GPU's, it was a complete shitshow of mismanagement. But he is an engineer in the field he is leading, not somenone from finance or any other unrelated field.
Posted on Reply
#77
stimpy88
zlobbyAnd how did it go for them? ;)
Brian Krzanich hired Raja, not Gelsinger. So this project is all Krzanich's fault, as he should have been able to see through Mr. Smoke & Mirrors from the start.

I'd argue that Gelsinger is correcting Krzanich's mistake right now, and I will be expecting to see Mr Smoke & Mirrors fired, sorry, sent on a long holiday sometime soon.
Posted on Reply
#78
efikkan
There is so much negativity and (as the Germans would say) schadenfreude both here and elsewhere, so people don't want a third player in the GPU market?

I really hope Intel are not dragging their heels, hoping they can patch up drivers and people will overlook the shortcomings. Once AMD and Nvidia launches their next gen, these will only look weaker. So assuming there is no yield issue (defective dies etc.), and I expect them to have several hundred thousands of these ready, they should do the following:
Change course and rebrand these as "Arc Alchemist BETA", slash the price in two, and be upfront with this being an "unpolished" product. This would change the public opinion on these inferior products and turn it into something positive. The alternative would probably sell these for cheap to OEMs, which doesn't sound more profitable anyways.
ZoneDymoand Vega 56 atleast was a superior price/performance card compared to Nvidia's equivalent, yes the 64 was not worth what they asked sure but the 56 was a fine option.

so I never understood or understand this retroactive negativity it gets.
What? Vega 56/64 was a "disaster" for AMD. While Vega 56 slightly outperformed GTX 1070 and Vega 64 matched GTX 1080, they had many problems;
- Vega 56 cost $500 and Vega 64 $700 at launch (with that $100 game bundle gimmick, and liquid cooler for Vega 64), compared to $380 for GTX 1070 and $500 for GTX 1080 (and the Nvidia cards were even obtainable below MSRP). AMD eventually released them without the game bundle at $400/$500, but those were very hard to find. And even then, GTX 1070/1080 still had a better price/performance ratio.
- The power draw were horrible.
- These cards were really hard to find, AMD didn't make many of them as HBM was in short supply and very overpriced, resulting in AMD not earning much on these.

Edit: Typo
Posted on Reply
#79
Bomby569
efikkanand Vega 64 matched Vega 64
True. Now finally there is something i think we can all agree.
Posted on Reply
#80
Tropick
HarakhtiThis. At a point of investment, it hurts less to do something rather than do nothing, and honestly, no one can expect a start where things work out immediately on the first try. Nvidia's terrible Riva 128 would be a good example.
Right? I know a lot of people have been pissed at the launch issues but honestly I don't know what everyone expected. This is a new industry they're launching in to, there's going to be some inevitable growing pains.

The problem for me is how wishy-washy they're being post-launch. They're absolutely destroying consumer goodwill with this sheepish response to the issues DG128 has. It makes them seem like they never really cared about it that much in the first place are being too willing to just abandon it. They either needed to be honest with their customers during the development process and make sure everybody knew this was a moonshot type launch and to brace for impact, or get the hype train rolling (like they did) and then when the launch didn't go the way they wanted it to, reassure everyone that they stand behind their promise and guarantee the product will improve and then actually DO it. Not, y'know, cut the entire damn AXG division.

I basically live next door to the site where Intel is set to build their new fabs in Ohio. People used to be absolutely hyped for it and the investment it would bring. Now the general sentiment is Intel is pulling an Amazon and is all talk about this grand new project but the delivery date might as well be 10 years out for all we know.
Posted on Reply
#81
MikeMurphy
efikkanThere is so much negativity and (as the Germans would say) schadenfreude both here and elsewhere, so people don't want a third player in the GPU market?

I really hope Intel are not dragging their heels, hoping they can patch up drivers and people will overlook the shortcomings. Once AMD and Nvidia launches their next gen, these will only look weaker. So assuming there is no yield issue (defective dies etc.), and I expect them to have several hundred thousands of these ready, they should do the following:
Change course and rebrand these as "Arc Alchemist BETA", slash the price in two, and be upfront with this being an "unpolished" product. This would change the public opinion on these inferior products and turn it into something positive. The alternative would probably sell these for cheap to OEMs, which doesn't sound more profitable anyways.


What? Vega 56/64 was a "disaster" for AMD. While Vega 56 slightly outperformed GTX 1070 and Vega 64 matched GTX 1080, they had many problems;
- Vega 56 cost $500 and Vega 64 $700 at launch (with that $100 game bundle gimmick, and liquid cooler for Vega 64), compared to $380 for GTX 1070 and $500 for GTX 1080 (and the Nvidia cards were even obtainable below MSRP). AMD eventually released them without the game bundle at $400/$500, but those were very hard to find. And even then, GTX 1070/1080 still had a better price/performance ratio.
- The power draw were horrible.
- These cards were really hard to find, AMD didn't make many of them as HBM was in short supply and very overpriced, resulting in AMD not earning much on these.

Edit: Typo
For what it's worth my Vega56 has aged like fine wine. Runs cool as a cucumber with an undervolt+ overclock and great driver support. Runs my 4k60 titles like a champ. The same can't be said of the 1070.
Posted on Reply
#82
ZoneDymo
efikkanWhat? Vega 56/64 was a "disaster" for AMD. While Vega 56 slightly outperformed GTX 1070 and Vega 64 matched GTX 1080, they had many problems;
- Vega 56 cost $500 and Vega 64 $700 at launch (with that $100 game bundle gimmick, and liquid cooler for Vega 64), compared to $380 for GTX 1070 and $500 for GTX 1080 (and the Nvidia cards were even obtainable below MSRP). AMD eventually released them without the game bundle at $400/$500, but those were very hard to find. And even then, GTX 1070/1080 still had a better price/performance ratio.
- The power draw were horrible.
- These cards were really hard to find, AMD didn't make many of them as HBM was in short supply and very overpriced, resulting in AMD not earning much on these.

Edit: Typo
fine fine, it was hot garbage
Posted on Reply
#83
Sisyphus
Bomby569Everybody loses, i don't get all the happiness
Malicious joy. Group thinking. Connection between identity and preferred branded product. Harmless to others, so no problem.
Posted on Reply
#84
geniekid
stimpy88Brian Krzanich hired Raja, not Gelsinger. So this project is all Krzanich's fault, as he should have been able to see through Mr. Smoke & Mirrors from the start.

I'd argue that Gelsinger is correcting Krzanich's mistake right now, and I will be expecting to see Mr Smoke & Mirrors fired, sorry, sent on a long holiday sometime soon.
Didn't Gelsinger promote Koduri to Executive Vice President recently? I remember thinking to myself, "shouldn't Intel wait for a successful launch first?"
Posted on Reply
#85
zlobby
SisyphusMalicious joy. Group thinking. Connection between identity and preferred branded product. Harmless to others, so no problem.
For me it's just personal satisfaction. It's not a herd mentality or need to be validated by others, but who knows why it's observed in general?

Plus, one can monetize even on this if one knows how to.
Posted on Reply
#86
ThrashZone
MikeMurphyFor what it's worth my Vega56 has aged like fine wine. Runs cool as a cucumber with an undervolt+ overclock and great driver support. Runs my 4k60 titles like a champ. The same can't be said of the 1070.
Hi,
Well that's a first I've read about amd drivers from that age
Only lately have amd drivers been worth beans.
Posted on Reply
#87
TheoneandonlyMrK
ThrashZoneHi,
Well that's a first I've read about amd drivers from that age
Only lately have amd drivers been worth beans.
Not so, I haven't had a driver issue in many years, people like to troll the Vega it's that simple.
Posted on Reply
#88
Tropick
SisyphusMalicious joy. Group thinking. Connection between identity and preferred branded product. Harmless to others, so no problem.
You're not kidding, this thread is absolutely baffling. ARC potentially being canceled is not something anyone should be happy or smug about. This is incredibly disappointing and a very bad omen for the GPU space. AMD and Nvidia are getting comfortable in their duopoly and having a third competitor that could provide entry level to midrange cards is sorely needed. Say what you want about Intel, their contempt for their competition has definitely earned them this beating, but rooting for ARC's demise is incredibly naive and represents how common and accepted brand whoring has become in these last few years.

In 6-8 months when people are scratching their heads at why GPU prices are still so high despite the chip shortage largely being over I hope this thread gets referenced. Hope the're as comfortable bowing down to AMVidea as they are with begging for monopolistic corporate behavior. Yeesh. :kookoo:
Posted on Reply
#89
AusWolf
TropickI swear if a company as big as Intel, with their olympic size swimming pool of engineering talent and equally large Scrooge McDuck vault of cash decides to give ARC the axe because of simple growing pains I'm throwing in the towel on them ever truly making a comeback. You don't build this much hype and make so many promises around a monumental product line like this and then go "oopsie launch went bad out the airlock it goes!". If they go through with this rumored ARC cancelation they'll deserve every stinking ounce of hate they'll get for it. This is NOT how you stand behind your products. They need to be reassuring their customers that Intel understands the issues they're having and that they're DEDICATED TO FIXING THEM. Absolutely pathetic corporate behavior, ESPECIALLY this ridiculous ask they're making of their AIBs to hawk their barely functional cards to OEMs at a loss to claw back any fraction of their investment they made in their inevitably doomed line of GPUs. PA-THET-IC.
I don't think they can afford to axe the whole project after having invested so much. Even if their losses are too high, they should still try to sell something to make up for at least part of the losses. Total cancellation at this stage doesn't sound logical to me.
Posted on Reply
#90
ThrashZone
TheoneandonlyMrKNot so, I haven't had a driver issue in many years, people like to troll the Vega it's that simple.
Hi,
Well in all honesty vega wasn't a very good naming for US it needed lots of modifications to be took seriously :laugh:

Posted on Reply
#91
Tropick
AusWolfI don't think they can afford to axe the whole project after having invested so much. Even if their losses are too high, they should still try to sell something to make up for at least part of the losses. Total cancellation at this stage doesn't sound logical to me.
Normally I'd absolutely agree with you, but have you heard about what they just did to Optane? Wrote off $559 MILLION dollars of product just so they could exit the market immediately. An entire division gone overnight. Not even 6 months ago they were attending trade shows showing off new Optane SKUs and singing 3D X-Point's praises and then POOF. Optane was never very profitable so in a way the move is understandable, but that same logic could be applied to these rumors of Intel preparing to get rid of AXG... :shadedshu:

This is genuinely unsettling, especially coming from an industry giant like Intel. Points to some serious internal discordance. Like I said, under any other circumstances it would be ridiculous to think they would just completely get rid of AXG after investing so much money in the team, but something weird is going on with Intel right now. It's incredibly disheartening :(
Posted on Reply
#92
rustic
bugThis is al just sensationalizing. So all AIBs are trying to get rid of existing inventory, but one of them is not and is, wait for it, having quality issues. You'll forgive me if I'm a bit skeptical.

The good news is video cards at current prices do not move. Glad to hear that.
I agree with your sensationalism comment, the post says the ARC are on the verge of extinction, then says one AIB is having qualify issues and then finally says, take this info with a grain of salt :/
Posted on Reply
#93
efikkan
AusWolfI don't think they can afford to axe the whole project after having invested so much. Even if their losses are too high, they should still try to sell something to make up for at least part of the losses. Total cancellation at this stage doesn't sound logical to me.
Intel certainly have the ability to sink much more resources into a project if they want to before giving up, just look at Itanium.

But I'm not convinced Intel will give up discrete graphics at this point, and I don't think people should spread that rumor either. Massive negative press can certainly affect decisions in a company, so let's not give the Intel board that idea. ;)
TropickNormally I'd absolutely agree with you, but have you heard about what they just did to Optane? Wrote off $559 MILLION dollars of product just so they could exit the market immediately. An entire division gone overnight. Not even 6 months ago they were attending trade shows showing off new Optane SKUs and singing 3D X-Point's praises and then POOF. Optane was never very profitable so in a way the move is understandable, but that same logic could be applied to these rumors of Intel preparing to get rid of AXG... :shadedshu:
I know it's sad, but Optane has effectively been dead for a long time. Development of new generations stopped a couple of years ago, and production of chips by Micron stopped a while ago. Since then Intel have been using remaining stockpiles.
Posted on Reply
#94
jayjr1105
Other than people with disposable $ and for sheer curiosity who the heck is going to buy these. Especially with horrendous support for everything pre DX12 which they already admitted isn't going to improve. The driver issues, the rumored faults in the hardware itself. This is much worse than a "bumpy" start.
Posted on Reply
#95
Assimilator
TropickARC potentially being canceled is not something anyone should be happy or smug about.
Why shouldn't I be happy that a bad product is being cancelled?
Why shouldn't I be happy that consumers won't be scammed by that bad product?
Why shouldn't I be happy that Intel's greed and incompetence has finally come back to bite them in the ass?

People like you keep harping on about a third competitor but Arc doesn't compete, it just barely exists. That's simply not acceptable in a market that requires innovation.
Posted on Reply
#96
GreiverBlade
oh, well the rumors called it ... battlemage will be cancelled and launching in China is Intel way to cash it quick... so freaking disappointed with Intel ... as i said, in the GN driver fiasco thread ... they are non existant to me now, no matter how strong Raptor Lake will be


also hilarious that Radeon got better and competitive after Raja did go to Intel ... must be a coincidence right? :rolleyes:


i have a "you had one job... " moment ... pffff


it's not a grain of salt we need ... it's a boatload.

@TheoneandonlyMrK that makes two ... i also never had any driver issues with any AMD cards in years (while i had quite often to roll back drivers with Nvidia ... oh well, need exceptions to confirm rules? )
Posted on Reply
#97
AusWolf
AssimilatorWhy shouldn't I be happy that a bad product is being cancelled?
Why shouldn't I be happy that consumers won't be scammed by that bad product?
Why shouldn't I be happy that Intel's greed and incompetence has finally come back to bite them in the ass?

People like you keep harping on about a third competitor but Arc doesn't compete, it just barely exists. That's simply not acceptable in a market that requires innovation.
Did you expect 1st gen Arc to launch and give AMD and Nvidia a thorough beating right from the start? Come on...

1st gen RDNA didn't beat Nvidia, and had lots of driver and heat issues, but we needed AMD to come up with something to break the monopoly. And they did, and now, everyone is happy with RDNA 2.
TropickNormally I'd absolutely agree with you, but have you heard about what they just did to Optane? Wrote off $559 MILLION dollars of product just so they could exit the market immediately. An entire division gone overnight. Not even 6 months ago they were attending trade shows showing off new Optane SKUs and singing 3D X-Point's praises and then POOF. Optane was never very profitable so in a way the move is understandable, but that same logic could be applied to these rumors of Intel preparing to get rid of AXG... :shadedshu:

This is genuinely unsettling, especially coming from an industry giant like Intel. Points to some serious internal discordance. Like I said, under any other circumstances it would be ridiculous to think they would just completely get rid of AXG after investing so much money in the team, but something weird is going on with Intel right now. It's incredibly disheartening :(
All the more reason not to get rid of Arc just yet. It's better to axe one multimillion dollar industry than two.

Besides, Optane was on the market for years, so Intel had time to see that it wasn't profitable. Arc hasn't even been out, yet.
Posted on Reply
#98
ZoneDymo
ThrashZoneHi,
Well that's a first I've read about amd drivers from that age
Only lately have amd drivers been worth beans.
Not really, when I had a 7900GTO and an 8800GTS G92 after I had driver issues quite a bit that I remember, but when I stepped to the AMD HD6950 it was smooth sailing.

Both companies seem to be on and off when it comes to drivers it you look at it objectively
Posted on Reply
#99
AusWolf
ZoneDymoNot really, when I had a 7900GTO and an 8800GTS G92 after I had driver issues quite a bit that I remember, but when I stepped to the AMD HD6950 it was smooth sailing.

Both companies seem to be on and off when it comes to drivers it you look at it objectively
Exactly. AMD drivers, just like Nvidia's, have been mostly OK. It's only in the Vega / RDNA 1 era when the "AMD drivers are crap" train really took off. Now, with RDNA 2, drivers are back to normal.

In fact, AMD's user interface is lightyears ahead of Nvidia's, and you don't have to register with your email address for a bunch of stuff like you do with GeForce Experience.
Posted on Reply
#100
stimpy88
AusWolfDid you expect 1st gen Arc to launch and give AMD and Nvidia a thorough beating right from the start? Come on...

1st gen RDNA didn't beat Nvidia, and had lots of driver and heat issues, but we needed AMD to come up with something to break the monopoly. And they did, and now, everyone is happy with RDNA 2.
I don't know anybody who thought that Intel were capable of delivering a graphics card that was capable of taking on a 3090Ti. I've never read that on any forum, or any tech site.

What people were expecting, was that Intel should be capable of creating a card which would maybe match the midrange cards from nVidia, at the top end.
What people were expecting, was lower prices than nVidia & AMD.
What people were expecting, was better availability of all graphics cards due to having another alternative on the market.
What people were expecting, was more competition for customers money, therefore reigniting the drive for new graphical features to differentiate between offerings from the 3 vendors.
What people were expecting, was having a 3rd player in the market would drive down prices overall.
What people were expecting, was that Intel should have had the experience and expertise to pull off a product launch with only minor issues, certainly not hardware ones. We all expected the drivers to be the weak point, as Intel simply does not know how to make them.
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