Intel is unable to meet the high demand for its Atom processors and Asus president Jerry Shen expects the shortage will persist until September.
Intel has declined to confirm the reported shortages, adding that it is ramping its 45nm production to meet anticipated demand.
Asustek will launch an Atom-based 8.9-inch Eee PC in June which will coexist with the current Celeron M-based Eee PC 900 during the shortage, said Shen. The company may also raise its Eee PC shipments goal of five million units in July, noted Shen.
The company expects 8.9-inch Eee PC shipments to surpass those of 7-inch models by the late May. In the third quarter, the proportion of 7-inch models to overall Eee PC shipments will drop below 30%. However, although the 8.9-inch model contributes a better gross margin, overall gross margins have slid slightly.
Intel is expected to increase the processor's price and give priority to major vendors.