Hewlett Packard Enterprise Is Suggesting Intel’s Drought Could Last Through The Year

Success Comes With A Price

As Amazon, Microsoft, Google, and other cloudy types continue to experience record growth, the demand they have put on Intel for processors has also increased, seemingly beyond Intel’s ability to keep up.  This has been exacerbated by Intel’s move to a 10nm fabrication process, which is tying up resources that used to work on the 14nm silicon.  You can see from AMD’s stock prices that many companies have found an alternative source, but it is also finite and AMD would be wise to foresee they could find themselves in a similar circumstance in the not too distant future.

Over at The Register, a representative from HPE is suggesting that shortage of server chips, especially Cascade Lake has lead to them suggesting customers consider ordering the older Skylake parts if they are uninterested in going with AMD.  There are those who will never purchase anything other than Intel, so expect these shortages to increase in the short term, if perhaps not completely through 2020.

The only good news is that desktop processors are not suffering anywhere near the same supply problems, though they are encountering much stiffer competition than they have in quite a long time.