Compal: Intel 14nm processor shortages will last until mid-2019

The director of the Taiwanese manufacturer Compal Electronics, which makes laptops for the large computer companies, takes into account that shortages of 14nm processors from Intel will remain until at least mid-2019.

According to him, Intel has not given any clarity when the shortages will be over. The Compal CEO explains, according to DigiTimes, that the shortages are negatively impacting the deliveries of laptops in the lucrative year-end period. Compal makes laptops for Acer, Apple, Dell, HP and Lenovo, among others.

At the beginning of this month, Intel announced that it would add extra capacity in Vietnam for the delivery of 14nm processors. In recent weeks, rumors have surfaced about other measures Intel would take. According to Tom’s Hardware, the company is producing its H310C chipset again at 22nm, where it was initially at 14nm. Before that, DigiTimes claimed that Intel had outsourced production to TSMC, although Tom’s Hardware sources deny it.

The shortages are due to higher demand for chips, partly because the PC market is performing better than expected and the data center market is growing strongly. Intel also makes many chip generations at 14nm, including not only processors but also chipsets. The company is taking much longer than planned with its 14nm process because 10nm production has been postponed until the end of 2019 due to major problems.

The effect of the shortages is now also visible in the prices. Hardware.info last week charted Coffee Lake CPU price increases in the period from early September and came in at an average of 23 percent. Outliers included the Core i3 8100, with an 81 percent higher price, and the Core i5 8400, with a 40 percent higher price. The popular Core i7 8700K has also risen in price, albeit by a more modest 20 percent. Similar price increases can be seen in the Pricewatch.

Price development Core i5-8400