John - Here's the article:
Shortages Of Intel Microprocessor Create Backlogs, Headaches
Shortages Of Intel Microprocessor Create Backlogs, Headaches Story 0005 (CDWC, CPQ, CPQC-D, DELC-D, DELL, INTC-D, INTC, I/CPM, I/CPR...)
NEW YORK -(Dow Jones)- Shortages of a type of Intel Corp. microprocessor widely used to make lucrative "server" computers are creating lengthy waits for the machines, according to industry executives. Server sales are booming as companies build or expand Web sites. Wednesday's Wall Street Journal reported. Manufacturers are also on edge after a typhoon delivering winds as fast as 160 miles an hour struck Taiwan Tuesday. Taiwan produces many critical components for PCs, and an earthquake there last year created a huge spike in memory chip prices.
The chip shortage, involving a popular version of Intel's (INTC) Pentium III Xeon, has stretched order backlogs to three weeks for computers costing $15,000 and more. Until recently, the Intel-chip shortages had largely limited availability of lower-cost, desktop PCs.
An Intel spokesman said the company has warned PC makers it would be slow to increase production of the Xeon model. He said the company continues to boost production to meet unexpectedly high demand for all its products. It expects PC demand to exceed chip supplies for much of this year.
For much of the last year, PC manufacturers have said they have been unable to obtain supplies of needed Intel microprocessors.
Copyright (c) 2000 Dow Jones & Company, Inc. All Rights Reserved. Additional Codes (I/OTS, I/RTS, I/SEM, N/PDS, N/WEI, N/WSJ, M/CYC, M/NND, M/TEC, P/DCO, P/DCZ, P/DEX, P/DHS, P/DRE, P/DSE, R/CA, R/IL, R/NME, R/PRM, R/TX, R/US, R/USC, R/USS, R/USW, J/LMJ, J/TCH) the machines, according to industry executives. Server sales are booming as companies build or expand Web sites. Wednesday's Wall Street Journal reported. Manufacturers are also on edge after a typhoon delivering winds as fast as 160 miles an hour struck Taiwan Tuesday. Taiwan produces many critical components for PCs, and an earthquake there last year created a huge spike in memory chip prices. The chip shortage, involving a popular version of Intel's (INTC) Pentium III Xeon, has stretched order backlogs to three weeks for computers costing $15,000 and more. Until recently, the Intel-chip shortages had largely limited availability of lower-cost, desktop PCs. An Intel spokesman said the company has warned PC makers it would be slow to increase production of the Xeon model. He said the company continues to boost production to meet unexpectedly high demand for all its products. It expects PC demand to exceed chip supplies for much of this year. For much of the last year, PC manufacturers have said they have been unable to obtain supplies of needed Intel microprocessors. Copyright (c) 2000 Dow Jones & Company, Inc. All Rights Reserved. Additional Codes (I/OTS, I/RTS, I/SEM, N/PDS, N/WEI, N/WSJ, M/CYC, M/NND, M/TEC, P/DCO, P/DCZ, P/DEX, P/DHS, P/DRE, P/DSE, R/CA, R/IL, R/NME, R/PRM, R/TX, R/US, R/USC, R/USS, R/USW, J/LMJ, J/TCH) |