Intel makes chipset capacity agreement with ATI

Posted on Tuesday, Apr 25 2006 @ 20:08 CEST by Thomas De Maesschalck
Intel's senior vice president Anand Chandrasekher says the termination of the supply of entry-level chipsets cut Intel's profit and market share goals. He added that with capacity support from ATI, the shortage that occurred at the end of last year won't happen again.
Intel has reached a chipset supply agreement with ATI, said Chandrasekher, who belives that the chip maker’s shipment schedule could be more flexible due to better capacity allocations in the future.

Intel strategically discontinued its entry-level chipset offerings in the latter half of 2005 and the tight supply has still not completely eased since Intel decided to resume production of the chipsets earlier this year, sources indicated. The sudden shortage of Intel’s 845/865 and 915 chipsets benefited ATI, Silicon Integrated Systems (SiS) and VIA Technologies, who inevitably raised shipments of equivalent chipset offerings for both Intel and AMD platforms, the sources suggested.
The shortage of Intel's entry-level chipsets boosted AMD's marketshare as more equivalent chipsets for AMD processors were produced by third party suppliers. The resumption of the 865 chipset production will be the first step from Intel to disrupt AMD's share growth. More details over at DigiTimes.


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Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.



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