Sunday, April 25, 2010

Intel Arrandale shortages leading to premium prices, potential product delays


Now this might explain Apple's curious choice to not upgrade the 13-inch MacBook Pro to a Core 2010 CPU. Yahoo! News is reporting shortages of the more budget-minded Core i3 and i5 laptop processors launched by Intel this January, which has led to chip buyers outbidding each other to the point of paying 20 percent premiums on contract prices. That's according to US chip distributor Converge, while research firm CLSA Asia-Pacific Markets estimates that product rollouts could be delayed by up to three months as a result.

"We don't comment on speculation, what I can say is that we are pleased with the strong product demand for our laptop platforms."

Well sure, you get paid more on a per-CPU basis, why wouldn't you be pleased? On a more serious note, during Intel's latest earnings call both Paul Otellini and CFO Stacy Smith expressed their surprise at the vast demand for their 32nm products, with Smith noting that their production of 32nm chips is the fastest ramping process in the company's history. So there's not really any villainy afoot here, just good old demand catching supply napping.