Intel CFO and Interim CEO Writes an Open Letter on Processor Supply

[First Strike]

With Ryzen on the market, it does surprise me why people still keep choosing Intel in this 'increasingly competitive market'. Yes, people are going to tell me that Intel still leads in gaming, but that only really matters at really high refresh rates in competitive games. The vast majority of gamers can be served by Ryzen and still have an, arguably, more future-proof platform and superior multi-tasking capability... Intel's product line already looked 'meh' before these price increases and now it's just flat-out moot. i3 8100 is £180-190 here and Ryzen 5 2600 is £150. Need I say more? You would have to be brain-dead to choose the i3.

PC euthusiasts are minority, remember that. Don't assume everyone to be expert in PC. And heck, some shitty games stutter on Ryzen, if you are ever open-minded to hear actual feedbacks from Ryzen users.

Someone have to be brain-dead to let PC noobs, who can barely insert pictures in Word, to diagnose their RAM compatibility and flash their BIOS, and tell them that stutters in some games are not AMD's fault.

 

[notb]

Demand for Intel products is insane. I'm expecting another record in profits. No need to rush 10nm when their 14nm is more desirable than their competitors using ARM and other x86 knockoffs.

@btarunr
Could you please give your reason for marking this post as "low quality"?

No word on why HT is being phased out slowly in most of the consumer parts.

New product lineup. They're moving from 2-4 cores to 2-8 cores on the consumer socket.
It looks very similar, but now "max cores + HT" is called i9, not i7.

 

[hat]

@btarunr
Could you please give your reason for marking this post as "low quality"?

Dwade is a well known Intel troll. You, @notb, may be pro-Intel, but Dwade's just trolling... not hating though, I usually find his posts hilarious. That said there are other posts in here that I would contend are of even lower quality...

 

[R0H1T]

@btarunr
Could you please give your reason for marking this post as "low quality"?


New product lineup. They're moving from 2-4 cores to 2-8 cores on the consumer socket.
It looks very similar, but now "max cores + HT" is called i9, not i7.

x86 knockoffs seriously? Without these knockoffs each one of us would still be owning an "IBM" PC & there would be no "chipzilla" churning record profits year after year

Not to mention x86 is nowhere to be found in FF <5W even after Intel poured tens of billions $ worth of bribes contra revenue!

 

[notb]

Dwade is a well known Intel troll. You, @notb, may be pro-Intel, but Dwade's just trolling... not hating though, I usually find his posts hilarious. That said there are other posts in here that I would contend are of even lower quality...

So his post was hidden because of dwade's history on forum? Seriously?

What he wrote is correct. Intel's revenue is going up.
I'll just patiently wait for @btarunr explanation.

x86 knockoffs seriously? Without these knockoffs each one of us would still be owning an "IBM" PC & there would be no "chipzilla" churning record profits year after year

Not to mention x86 is nowhere to be found in FF <5W even after Intel poured tens of billions $ worth of bribes contra revenue!

Wrong post quoted?

 

[HD64G]

Infinity Fabric that allows ultra-high yields and low cost and by that low price for customers and IPC progress for Zen closing the gap to Intel's offerings got the Chipzilla in that position. Intel stopped innovating since core gen 3 and just kept miliking customers as AMD didn't progress well in cpu tech having big financial problems. It was totally unexpected for Intel to have AMD coming so much stronger in 1 year after Zen-core products got on sale. Bad management should have reacted better though and not panicking like we see. Security problems hurt them muchly in server and cloud market also. 7nm's product timeschedule of getting on sale is critical to even turn the tides considering the situation.

 

[dorsetknob]

Could you please give your reason for marking this post as "low quality"?

desirable than their competitors using ARM and other x86 knockoffs.

Probably because of this reference
Highly incorrect there are no X86 Knockoffs on the market if there were you would See the FULL MIGHT OF AMD AND INTELS LEGAL TEAM JOINTLY GO AFTER THEM

 

[Indra18]

• We are investing a record $15 billion in capital expenditures in 2018, up approximately $1 billion from the beginning of the year. We're putting that $1 billion into our 14 nm manufacturing sites in Oregon, Arizona, Ireland and Israel. This capital along with other efficiencies is increasing our supply to respond to your increased demand.
• We're making progress with 10 nm. Yields are improving and we continue to expect volume production in 2019.
• We are taking a customer-first approach. We're working with your teams to align demand with available supply. You can expect us to stay close, listen, partner and keep you informed.

Just words for keep investors on wallstreet...but in real: intel have nuffing just refresh refreshing "lakes" pakes ..if they have they will relase now. but they keep whole world in stone ages with core arch..

1. intel have no brains to new arch .. even to zen 2 2019... sooo they can "invest " 100 billion and still will behind AMD
2. where and how they will invets that 15 B??? pay manager 100K per month or others?? buy new machine for process if TSMC and samsung have best and best people ?))) creating own machines and process is superexpensive and no reliable in todays...its not 1998 )) where hi tech was only exclusive"made in usa or intel" "magic" .-..))
3. when amd was down they dont cry like babe and work (lisa) NOw shiintel acting like shooted dying animall and cryyyyyyy....
4. we are taking "approach" ...... oo menn oo dany booy )))) cry my river cryy and do something dirty agains amd like always
5. monopol is best friend of capitalism.. and intel cry it showing absolutly Clear "we want monopol but not melt own stash of dollahs witch was accumulated in years of monopoly dirty game" )))))))
6. GO LISA and destroy monopol !
Edit: that fabs is reliable if intel have world monopol ! if no.. they will "eat " quick all intel income in "investing" .. intel can not support fabs around globe contra trying find best people... ist killing own self scenario .. just use brain people,,,

 

[Vayra86]

@btarunr
Could you please give your reason for marking this post as "low quality"?


New product lineup. They're moving from 2-4 cores to 2-8 cores on the consumer socket.
It looks very similar, but now "max cores + HT" is called i9, not i7.

In all fairness they should permaban that flame baiter right now. He's one of the very select sad cases I have on ignore. Zero content whatsoever at any possible point in time. You should do the same, you won't miss a thing.

 

[iO]

My comment aligns with the article. People want Intel processors more than their competitors.

Mindfactory disagrees:

 

[cadaveca]

Mindfactory disagrees

Doesn't change the fact that if, going by your pic, they lost 30% market share, but are charging 50% more, they still be in the black.

Also, they list in your pic 1171680 CPU sales tracked... that really can't be all the CPUs sold in the past 7 years...

 

[Ferrum Master]

I like looking at steam for the real picture...

It doesn't really show that something is changing that much...

Althou it doesn't have september yet, will be fun to see.

 

[cadaveca]

I like looking at steam for the real picture...

It doesn't really show that something is changing that much...

View attachment 107711

Althou it doesn't have september yet, will be fun to see.

The unfortunate through is though, that gamers aren't the entire picture either. Businesses and server farms make a huge chunk of such data, and many of those customers only purchase through "approved" retailers, many of which do not disclose sale figures. The whole market is rather convoluted and many-layered, truly.

 

[Ferrum Master]

The unfortunate through is though, that gamers aren't the entire picture either. Businesses and server farms make a huge chunk of such data, and many of those customers only purchase through "approved" retailers, many of which do not disclose sale figures. The whole market is rather convoluted and many-layered, truly.

The more... I seldom see ANY AMD powered laptops that is used mostly in businesses now. Nothing is changed in that department from my point of view... the big PC's nowadays are build mostly and only for gaming in my opinion, there are exceptions but those are rare. That's from the domestic consumer point. Prosumer needs always differ.

 

[Sir Alex Ice]

INTEL's product may not be actually much better than AMD's. But they work better for what most of the world needs them to do, so they sell more.

I am on gen 4 Core i5 and still not planning to upgrade, as gen 6 and 7 were crap updates not worth the money to change the MB and memory.
Is gen 8 much better? PC Gaming should not have an actual real need to upgrade, there will not be a significant performance increase.

 

[HD64G]

If that diagram from Mindfactory.de iO posted is correct and representative of the market situation atm and Intel loses 30% of the market from let's say 50/50 that results in them selling 20% from 50% and that means a 60% loss that cannot be saved from even 50% price increase. This refers only to the desktop pc market though. Server and cloud business is more money and will change slower.

 

[notb]

If that diagram from Mindfactory.de iO posted is correct and representative of the market situation atm and Intel loses 30% of the market from let's say 50/50 that results in them selling 20% from 50% and that means a 60% loss that cannot be saved from even 50% price increase. This refers only to the desktop pc market though. Server and cloud business is more money and will change slower.

You've ignored notebooks and OEM desktops.

I don't know much about the market in Germany, but 1.2 mln CPUs sold over 7 years is way less than 170k CPUs yearly sold to a nation of 83 mln.
Lets assume there are 80mln x86 consumer CPUs in use in DE and they're replaced every 4 years.
So Mindfactory would be reporting 1% of CPU sales.

Lets be honest: even if AMD managed to have 100% share in custom built desktops, they wouldn't even get close to what Intel sells.
Until they manage to attract OEMs, the gap will remain huge.

The unfortunate through is though, that gamers aren't the entire picture either. Businesses and server farms make a huge chunk of such data, and many of those customers only purchase through "approved" retailers, many of which do not disclose sale figures. The whole market is rather convoluted and many-layered, truly.

But Intel and AMD know very well how many CPUs they sell.
So even if AMD doesn't know how many CPUs Intel sells (unlikely), if they're so proud of the growth, why not give us their figures?

 

[trparky]

Translation: Wahhhhhhh! Higher core counts costs us yields and wafers. 10nm is broken and killing us. Damn you, AMD, you morons. We had a plan to keep selling high end quad cores till 2020! F you, Lisa!

No, that's not satire. It's what the execs are thinking.

Yep, in full agreement there. Intel really needs to rethink how they build chips from this point on, the days of monolithic chips are done simply due to the complexities that come from building chips with a lot of cores onboard. I'd hate to see their reject rates, they're probably horrible. There's only so many Core i3's they can make from the scraps.

This is where AMD Ryzen is winning. They can make smaller dies and stitch them together thus reducing the complexities of making higher core count chips. Infinity Fabric like setups are the future going forward.

 

[btarunr]

@btarunr
Could you please give your reason for marking this post as "low quality"

No.

 

[fabtech]

no rush Intel. Take your time to catch up on lithography improvements and fix your damn security bugs!


Holy shit just saw 8700k processors are now $400 on newegg. Wow

It's even worse in Europe by hitting 525 € ($610).
This letter from Intel sounds so hypocrites.
They are in the mud up to the neck, to be polite, if not more. Intel just deserves what is happening to them. They already had a lesson with Pentium 4, it wasn't a lesson learned, so now it is even much worse. But will they still learn? I doubt it.

 

[john_]

that really can't be all the CPUs sold in the past 7 years...

They are not obsiously. If in that graph where 1 million old and forgotten CPUs, AMD would have to sell a few hundred thousand Ryzen CPUs to move that graph that much, through Mindfactoty alone. They would have ended making $30 billions revenue or something like that, this quarter alone.

 

[HD64G]

You've ignored notebooks and OEM desktops.

I don't know much about the market in Germany, but 1.2 mln CPUs sold over 7 years is way less than 170k CPUs yearly sold to a nation of 83 mln.
Lets assume there are 80mln x86 consumer CPUs in use in DE and they're replaced every 4 years.
So Mindfactory would be reporting 1% of CPU sales.

Lets be honest: even if AMD managed to have 100% share in custom built desktops, they wouldn't even get close to what Intel sells.
Until they manage to attract OEMs, the gap will remain huge.

But Intel and AMD know very well how many CPUs they sell.
So even if AMD doesn't know how many CPUs Intel sells (unlikely), if they're so proud of the growth, why not give us their figures?

I didn't ignore anything at all. I spoke about desktop pc market. And OEMs will turn to AMD also if price and availability are as bad as they seem to be. And only high end notebooks have big profit margin cpus and chipsets so that market isn't big enough to save the day. At the moment only server and cloud market is keeping Intel cpu segment alive but for how long if Epyc is available and Xeons aren't? And if that situation keeps for 3-4 months more, 7nm will make a big boom. For now, signs are good for competition in that market.

 

[SIGSEGV]

take your time intel, please no rush. I am very happy with my AMD rig and I don't have to buy a new board on every processor being released for small damn improvement.

 

[john_]

You've ignored notebooks and OEM desktops.

I don't know much about the market in Germany, but 1.2 mln CPUs sold over 7 years is way less than 170k CPUs yearly sold to a nation of 83 mln.
Lets assume there are 80mln x86 consumer CPUs in use in DE and they're replaced every 4 years.
So Mindfactory would be reporting 1% of CPU sales.

Lets be honest: even if AMD managed to have 100% share in custom built desktops, they wouldn't even get close to what Intel sells.
Until they manage to attract OEMs, the gap will remain huge.

But Intel and AMD know very well how many CPUs they sell.
So even if AMD doesn't know how many CPUs Intel sells (unlikely), if they're so proud of the growth, why not give us their figures?

Absolutely correct. Just a thought. People who work in big corporations, either they are OEMs of just big corporations doing something different than computer hardware anyway, and they are responsible for PCs and servers used there, they are also consumers. As with many of us in here, they get used in a platform. They don't act of course with emotion when they decide what hardware they will suggest for their corporation, except if they love big unemployment vacations, but the system they have in their home could influence their final decision, even a little. So, those numbers, if they are not just mindfactory numbers, and probably they are not, with Intel prices skyrocketing everywhere, means more consumers getting familiar with AMD hardware, more ITs getting AMD hardware for their home PCs, more opportunities for AMD in the future IF, and this is a big IF, stays at least competitive with Intel for 2-3 more years. No one expects everything to change over night or even in a period of a month.

 

[notb]

No.

Lovely, thanks.