Intel can’t supply 14nm Xeons, HPE directly recommends AMD Epyc

Intel can’t supply 14nm Xeons, HPE (Hewlett Packard Enterprise) directly recommends AMD Epyc
Sep 7, 2018 by Charlie Demerjian
https://www.semiaccurate.com/2018/0...-14nm-xeons-hpe-directly-recommends-amd-epyc/

"Intel can’t seem to supply 14nm Xeons so HPE (Hewlett Packard Enterprise) is recommending AMD Epycs instead. Most SemiAccurate readers will understand why there is a 14nm shortage at Intel but even with that background, this page is pretty brutal.

The page in question is titled, “ Reseller update:Overcoming supply constraints on Intel Xeon-SP processors” and it is dated August 7, 2018 so this is not a new issue.

You might have heard rumblings of it on the consumer side, SsmiAccurate went into the reasons for it happening almost exactly a year before the HPE page in question was written, just from a different angle. That said there is a serious shortage of Intel Xeons, and consumer iSomethingmeaningless, CPUs.

The page is marked, “ Confidential | HPE Internal & Authorized Partner Use Only” but it is quite open and does not require a login....The page says in no uncertain terms that Intel can not supply Xeon-SP CPUs and it is definitely impacting sales for HPE and presumably every other large industry player as well.

“ Supply continues to be dynamic and constrained on specific SKUs, but HPE teams are working with Intel to drive additional supply with significant recovery being forecasted in September and October.” It is going to get a bit better soon, maybe, but how many months has this been going on for? How much will this cost Intel? Will the slush fund tap have to open even harder soon?

One thing we can say for sure is that HPE has a way out, “ Recommending alternative platforms such as the ProLiant DL325 Gen10 and ProLiant DL385 Gen10 servers based on AMD EPYC processors.” Seems clear enough to us, the other two bullet points in the mitigation strategies box are basically corporate BS-speak and not anything a sales person can do. I guess AMD is going to be having a good quarter and Intel… less so. Enjoy the screen captures of the page in full in case it goes poof before you read this. "

 

http://americas.as.techdata.com/na/...s/Intel-Xeon-SP-Processors-and-HPE-Gen10.aspx

Advance Notice: Intel Xeon-SP Processor Supply Constraints

"Tech Data has been informed of Intel Xeon-SP Processor supply constraints, affecting other server vendors as well, which may impact the availability of Intel-based Gen10 servers. Based on these supply constraints, you could experience shipping delays and limited availability of Intel-based Gen10 servers. Rest assured, Tech Data has a solution for you.

The good news is that Tech Data has been working with HPE to secure $30M+ HPE server inventory, so you will still be able to purchase Gen10 products through our HPE NOW program as BTO. We highly recommend you consider buying our HPE Gen10 BTO Inventory to avoid this issue. View the Tech Data HPE Now Program Data Sheet on MAX for detailed information and to request a quote.*

For any opportunities that must be fulfilled through factory integration, we highly recommend that you place POs with Tech Data as soon as possible to increase the chance of your orders shipping before HPE’s quarter-end (October 31, 2018).**

To learn more about this issue, you may view HPE's slide deck: Intel Xeon-SP Processor Supply Constraints. To stay up-to-date on processor availability, please refer to the following link for updates from HPE: https://hpe.seismic.com/Link/Content/DCbOCKId6PiAfx7JQSkyv6tg.

Questions? Please reach out to your dedicated Tech Data HPE sales representative.
*CTO deals with escalated pricing may require modification when converted to BTO.
**CTO-only product categories include Synergy, SimpliVity, Mission Critical Servers, and Apollo Servers.
Article Date: 8/15/2018

 

Intel 14nm Processors Facing Shortages, Increasing Prices
by Paul Alcorn September 5, 2018 at 7:18 AM
https://www.tomshardware.com/news/14nm-processor-intel-shortage-9000-series,37746.html

"The first signs of a shortage of Intel's 14nm processors is emerging in the form of increasing prices, spotty availability for some processors, unavailable chipsets and complaints from Intel's partners. These concerns come after Intel has acknowledged production issues and is poised to launch its new 9000-series processors, though it's becoming more likely that we'll see a repeat of last year's quasi-paper launch."
...
"Meanwhile, AMD has a seemingly solid supply of 14nm and 12nm chips from GlobalFoundries as it heads into the holiday season, and the company is working to transition quickly to the 7nm node early next year. GlobalFoundries recently abandoned the 7nm node, which might eventually create challenges for AMD as it competes with Nvidia, Apple and Qualcomm for production capacity at TSMC. But the short-term outlook for AMD's production capacity looks strong headed into the holiday season, while Intel could struggle. That could lead to a repeat of AMD's strong holiday performance last year."

 

Intel Can't Supply 14nm Xeons, HPE Directly Recommends AMD EPYC
Saturday September 08, 2018
https://www.hardocp.com/news/2018/0...y_14nm_xeons_hpe_directly_recommends_amd_epyc

"SemiAccurate is highlighting an advisory published by HPE early last month that confirms a serious shortage of Intel Xeon processors: titled "Reseller update: Overcoming supply constraints on Intel Xeon-SP processors," the page discusses how the lack of inventory is impacting sales of HPE and how alternative solutions, such as AMD’s EPYC, are being pursued.

One thing we can say for sure is that HPE has a way out, " Recommending alternative platforms such as the ProLiant DL325 Gen10 and ProLiant DL385 Gen10 servers based on AMD EPYC processors." Seems clear enough to us, the other two bullet points in the mitigation strategies box are basically corporate BS-speak and not anything a sales person can do.

I guess AMD is going to be having a good quarter and Intel... less so."
Discussion

 

Intel can’t supply 14nm Xeons, HPE directly recommends AMD Epyc
https://www.reddit.com/r/Amd/comments/9dybeh/intel_cant_supply_14nm_xeons_hpe_directly/

 

Given Intel problems, I so hope we'll finally see proper Ryzen business-class convertibles soon! Thinkpad A390 Yoga pretty please?

 

AMD has a series of mobile CPU's / APU's coming out, with some already out, it's the manufacturers that need to jump on board with more than a couple of offerings per line. The AMD Pro line is out and continuing to release too.

More PGA Ryzen in laptops too.

 

This is Xeon server class CPU's where Epyc is being recommended. I do not think Intel has an issue with the lower core count parts. It seems more an issue with the higher core count, low yield, 14nm parts. Because of high prices, before Epyc, Intel had a cache of parts. The fact at that time clocks were lower too yields were probably higher as well.

More than likely IT is now getting the more bang for your buck CPU's and this is just killing Intel, even on their own skews. What makes this even worse for Intel is now also trying to get a 28 core for consumers out as well. This let alone other consumer level skews with high end core counts.

 

Intel has to sacrifice some production for ranges of 14nm parts in order to make enough of the 9xxx for release. The larger dies, the higher quantity lower profit sku's, then the parts in migration from 22nm to 14nm, like the z390 and other support parts.

Intel Faces 14nm Shortage As CPU Prices Rise
Joel Hruska on September 6, 2018 at 10:37 am
7 Comments
https://www.extremetech.com/computing/276481-intel-faces-14nm-shortage-as-cpu-prices-rise

"Intel CPUs are getting harder to find at retail, and prices are increasing across the channel. Intel has previously telegraphed that meeting demand for its chips could be a challenge in the back half of the year, and it looks like those restrictions are beginning to bite.

In July, during its Q2 conference call, CEO Robert Swan said: “We are seeing demand signals in supply feasibility to deliver on our revised expectations. Our biggest challenge in the second half will be meeting additional demand, and we are working intently with our customers and our factories to be prepared so we are not constraining our customers’ growth.”

Now, as THG has detailed, we’re seeing price increases above retail MSRP on a suite of 8th Gen desktop chips.

The increases tend to hit the lower-end chips first; K-class enthusiast parts are less impacted.

It makes perfect sense for Intel to make this move — if the company is supply limited, it means that it can still maximize profits per part by selling the most expensive chips it can build. It also suggests, albeit indirectly, that Intel’s overall 14nm yields are quite good.

If the company can keep chips like the 8700K in robust supply today, (after struggling to do so last year when it virtually paper-launched the core) it suggests that the problem isn’t related to issues with the node or its ability to yield good die that can hit high clocks for the current lineup of desktop chips.
..."

"There are a variety of factors that could be in play here. Intel ran out of H310 chipsets after launching them on a 14nm process earlier this year (previous chipsets were built on 22nm). Transitioning its chipset business to 14nm is part of Intel’s regular strategy to move its non-CPU hardware to older process nodes and keep fab utilization high, but it may have put more pressure on the company’s foundries thanks to — you guessed it — the delays to 10nm.
..."

 

I mentioned I doubt the problem lies in yield of low core CPU's it is the higher end Xeon chips that may be suffering a low yield. As far as desktop supply's causing an issue, again having to put out all this new 14nm tech to compete against Ryzen has stretched out their abilities to have a high yield lows cost diverse options with chipsets etc. that can keep the supply up. This includes that 10nm is not going to be there to take up any of the supply demands for any of those parts.

 

Intel to outsource 14nm chip production due to tight supply
DIGITIMES | Monday 10 September 2018

"Intel intends to give priority to its high-margin products mainly server-use processors and chipsets amid its tight 14nm process capacity, and therefore plans to outsource the production of its entry-level H310 and several other 300 series desktop processors to TSMC, the sources indicated"

 

Even if it does ease by the end of 2018 that is 3 more months of them being banged around. If they saw this coming plans should have been made well before now!

 

How long does it take to migrate from 1 process technology implementation to another process implementation?

I guess we are going to find out.

It might be as simple as transfering files, and running through a prototyping proofing run for a single project first, to verify everything is fine.

Intel and TSMC did this for a 28nm project a while back.

Going 14nm++ to whatever TSMC has in operation for 14nm might be problematic. Intel would need to give TSMC advances Intel developed, and that could be a sticky situation.

That first project could take about 1-3 months, given all the red-tape and turnaround between the two companies staff - to test and verify - and give the go ahead for production, if it all works smoothly without repeats to fix problems.

If Intel are in a panic, waiting too long to act as it seems, then "taking off all the safeties", it could be done in a few weeks. Crossing fingers that problems don't creep up later with the resulting product / yield.

Then Intel need to do this for all of their constrained 14nm projects, 1 by one, to migrate all of them to production. It depends on how wide of parallel operation the two companies can manage effectively.

If nothing else it provides hope.

Intel should start a parallel operation with GF if that is possible, to cover any future contingencies - should TSMC get constrained.

At some point TSMC is going to want to switch over facilities to 7nm / 5nm. GF seems content to continue to crank out 14nm / 12nm production as long as possible.

Spoiler: Ahh great Intel, not again...

What concerns me most is that Intel, a proven cheater that pays off and strong-arm's companies to not use AMD components - Intel gave $100m's to Dell in particular to give priority to Intel builds - Intel is now giving who knows how much money and promises for future fab work to TSMC...to give priority to Intel builds??

If AMD's CPU's @ 7nm parts don't perform as the silicon TSMC is touting promises, that's gonna be a big problem.

"We gave all the best silicon to Intel, your honor" - TSMC @ some future hearing...(hopefully not)

I hope AMD is working with Samsung too...