- Rosenblatt analyst Hans Mosesmann shared salient articles in the last week specific to AI, Bandwidth, and Compute that are important and merely interesting regarding key secular themes.
- He had some incoming this week on DigiTimes news that Intel Corp (NASDAQ:INTC) was cutting Alder Lake desktop pricing to promote 2H22 demand that was weaker than expected.
- Intel's Alder Lake is a 10nm+ based (Intel 7) CPU launched last year and currently trades blows with Advanced Micro Devices, Inc's (NASDAQ:AMD) 7nm-based Zen3 Ryzen 5000 series.
- AMD has maintained top-selling desktop CPU status since the beginning of the year, and using Amazon.com Inc's (NASDAQ:AMZN) list, AMD has all top 5 selling CPUs and 7 of the top 10 in all ranges of price points.
- The setup in 2H22 is a mid-September launch of AMD's new Zen 4 architecture and 5nm Taiwan Semiconductor Manufacturing Company Ltd (NYSE:TSM) process technology, which he expected to compete with Intel's pristine Raptor Lake (using still 10nm+). He suspects continued share losses also impacted 2H22 demand over possible end demand weakness.
- Raptor Lake will likely be considerable silicon die as Intel must match AMD's 32-thread defacto high-end standard.
- So, he sees the profit profile on top of likely share losses as a dilemma that gets worse if Intel uses price to entice OEM uptake.
- Price Action: INTC shares traded lower by 1.47% at $37.23 on the last check Wednesday.
- Photo via Wikimedia Commons
