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Data Center News > Blog > Global Market > Intel wrestling with CPU supply shortage
Global Market

Intel wrestling with CPU supply shortage

Last updated: January 28, 2026 1:17 am
Published January 28, 2026
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“We’ve got necessary prospects within the information heart aspect. We’ve got necessary OEM prospects on each information heart and shopper and that must be our precedence to get the restricted provide we have now to these prospects,” he added.

CEO Lip-Bu Tan added that the persevering with proliferation and diversification of AI workloads is inserting vital capability constraints on conventional and new {hardware} infrastructure, reinforcing the rising and important function CPUs play within the AI period.

Due to this, Intel determined to simplify its server street map, focusing sources on the 16-channel Diamond Rapids product and speed up the introduction of Coral Rapids. Intel had eliminated multithreading from diamond Rapids, presumably to do away with the efficiency bottlenecks. With every core working two threads, they typically competed for sources. That’s why, for instance, Ampere doesn’t use threading however as an alternative applies many extra cores per CPU.

With Coral Rapids, Intel will not be solely reintroducing multi-threading again into our information heart street map however working carefully with Nvidia to construct a customized Xeon absolutely built-in with their NVLink expertise to Construct the tighter connection between Intel Xeon processors and Nvidia GPUs.

One other facet impacting provide has been yields or the brand new 18A course of node. Tan stated he was disenchanted that the corporate couldn’t absolutely meet the demand of the markets, and that whereas yields are according to inside plans, “they’re nonetheless under the place I need them to be,” Tan stated. 

Tan stated yields for 18A are enhancing month-over-month and Intel is concentrating on a 7% to eight% enchancment every month.

See also  Intel CEO Pat Gelsinger retires – Computerworld

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TAGGED: CPU, Intel, shortage, Supply, wrestling
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