To all. This just in.
Intel Corp was gearing up production of its microprocessors because demand exceeded supply, Albert Yu, senior vice president and general manager of Intel's Microprocessor Products Group, said on Tuesday.
`People want products we can't ship, that is true, particularly higher frequency ones,'' Yu told Reuters during a visit to Hong Kong. ``I think demand has jumped significantly, which is a change from quite a long time.''
`We're gearing up manufacturing, we should be out of it pretty soon,'' he added.
Earlier this month, Intel said it was experiencing ``some tightness'' in capacity for manufacturing microprocessors and some fabrication plants were running at 100 percent, but added it was not worried about meeting customer needs.
Yu, who oversees development of Intel's Pentium, Pentium Pro and future microprocessors, said the surge in demand came suddenly in the last 30 to 60 days following a period of perhaps 18 months when Intel could supply any product customers wanted.
Supply was tightest at the high end, but the shortage existed across the board, he said.
Yu denied Intel was having any greater than expected problems with Pentium Pro manufacturing yields, and said tight supply for the top end chips was due just to strong demand.
Yu said he thought there was now greater demand for all chips used in making personal computers, not just microprocessors, noting the recent stabilisation in the price of memory chips.
`To build a PC you need more than processors,'' he said. But he said Intel continued to watch the end-user market carefully to catch any hint of a demand turn that could signal a potential oversupply situation.
`Right now is great, but how do I know tomorrow is great? We watch the market very carefully,'' he said. |