Intel Apologizes for Delays in CPUs’ Shipments AGAIN!

By: SiliconExpert on November 26th, 2019

Intel has been having chip shortage issues since mid-2018 and still has not managed to catch up with the ever-increasing CPU demand. 

Towards the end of 2018, Intel officials stated that the 14nm shortages are linked to the company’s efforts to launch the 10nm generation of chips, which has already seen delays over the last 2 years. Flash forward to November 2019, the company is nowhere near solving the shortage issues even though profit reports are stellar and AMD is seeing the increased market share. Out of respect for its customers and OEM partners, Intel recently published an apology letter detailing the current state of the shortage problems.

Highly rare for Intel, on November 20, 2019, Michelle Johnston Holthaus, Intel EVP and GM of Sales, Marketing and Communications, wrote and published:

“To our customers and partners, 

I’d like to acknowledge and sincerely apologize for the impact recent PC CPU shipment delays are having on your business and to thank you for your continued partnership. I also want to update you on our actions and investments to improve supply-demand balance and support you with performance-leading Intel products. Despite our best efforts, we have not yet resolved this challenge. 

In response to continued strong demand, we have invested record levels of Capex increasing our 14nm wafer capacity this year while also ramping 10nm production. In addition to expanding Intel’s own manufacturing capability, we are increasing our use of foundries to enable Intel’s differentiated manufacturing to produce more Intel CPU products.” 

Holthaus also noted that while CPU supply has improved by “double digits compared with the first half of this year”, tight supplies have led to delays in part shipments and subsequent impacts to its customers. Furthermore, in a move that may help placate its customers, representatives from Intel would soon get in touch to directly answer questions and provide more information.

While Holthaus rounded out the letter by saying that the company would “continue working tirelessly to provide you with Intel products to support your innovation and growth” it remains to be seen how well it will weather the challenge brought on by a resurgent AMD and additional mobile processors.

SiliconExpert wants to ensure our customers stay informed and proactive.  To learn more about how these shortages may impact your supply chain, contact your local SiliconExpert representative at livechat@siliconexpert.com.

NOVEMBER 26, 2019 BY KEIRHOPPE