Even AMD and Intel underestimated the AI boom
AMD and Intel do not have enough server processors, but want to provide a remedy. End customers could suffer from this.
AMD's next server processor Epyc Venice.
(Image: AMD)
AMD CEO Lisa Su admits to misjudging the demand for server processors. The company cannot deliver as many Epyc CPUs in the coming months as cloud hyperscalers would buy for their AI data centers. Previously, Intel switched some production lines from desktop and notebook to server processors. Both companies obviously miscalculated.
At an analyst conference, Su said: “Yes, there is supply tightness, but that's really because the market sizing is bigger than what we had forecasted 3 or 6 months ago. And so it always takes time for the supply chain to catch up with what the market wants. I can say that we are very, very well positioned from a supply standpoint to meet a large percentage of that demand. We are still working very closely with our supply chain partners to expand that capability as we go through 2026 and 2027.”
High interest in Epyc Venice
The next Epyc generation with Zen 6 architecture (codename Venice) is expected to be in high demand. Its production will be ramped up by the responsible chip contract manufacturer TSMC in the second half of 2026. “With Venice, like every one of our large customers want Venice the moment it comes out.” Su emphasized the high interest.
The misjudgment could have several reasons. For one, cloud hyperscalers like Amazon, Google, Meta, and Microsoft may be building more data centers than expected. On the other hand, demand for Venice could be particularly high because the generation with new 2-nanometer manufacturing technology (TSMC N2) will be particularly efficient and also brings fast PCI Express 6.0.
Videos by heise
Ryzen in second place
This is potentially bad news for PC builders and notebook buyers. AMD is clearly prioritizing server processors in the Zen 6 generation. There is no release date yet for desktop and notebook variants. A presentation could be postponed if Epyc CPUs consume more of AMD's allocated N2 manufacturing capacity – especially since AMD is also relying on N2 technology for its upcoming Instinct MI400 series AI accelerators. As Apple, Mediatek, and Qualcomm, among others, have a strong interest in N2, AMD is unlikely to receive additional capacity in the short term.
Empfohlener redaktioneller Inhalt
Mit Ihrer Zustimmung wird hier ein externer Preisvergleich (heise Preisvergleich) geladen.
Ich bin damit einverstanden, dass mir externe Inhalte angezeigt werden. Damit können personenbezogene Daten an Drittplattformen (heise Preisvergleich) übermittelt werden. Mehr dazu in unserer Datenschutzerklärung.
(mma)
