Intel’s 10nm To Be Delayed Until 2019

Intel (INTC) & Potential Financial Impact Of CPU Flaws, Meltdown/Spectre

Intel (INTC)

Intel just announced its financial results, Intel had a nearly perfect quarter with great numbers that include record Q1 revenue of $16.8 billion, which is up 16% year-over-year (YoY). The company also raised its guidance for the full year to $67.5 billion, which is a $2.5 billion bump over its previous guidance, but we’ll circle back to those numbers later., but intel also unveiled serious production problems with its 10nm process. Intel announced that it is shipping yet more 14nm versions this year. They’ll come as Whiskey Lake processors destined for the desktop and Cascade Lake Xeons for the data center.

Intel mentioned that it had delayed 10nm production to 2019. Meanwhile, its competitors, like TSMC, are beginning high volume manufacturing of 7nm alternatives. TSMC’s 7nm isn’t entirely on par with Intel’s 10nm process. However, continued process node shrinks at other fabs show that other companies are successfully outmaneuvering the production challenges of smaller lithographies.

Intel was unwilling to commit to high volume production in the first half of 2019, so it’s possible 10nm will be delayed until the second half of the year.

We continue to make progress on our 10-nanometer process. We are shipping in low volume and yields are improving, but the rate of improvement is slower than we anticipated. As a result, volume production is moving from the second half of 2018 into 2019. We understand the yield issues and have defined improvements for them, but they will take time to implement and qualify. We have leadership products on the roadmap that continue to take advantage of 14-nanometer, with Whiskey Lake for clients and Cascade Lake for the data center coming later this year.

Tags: Technology, intel, video games, intl, 10 nm, 10 nm intel, cpu , gpu, chips

Mohsen Daemi