DigiTimes reports demand for the Intel Atom processor is cooling down. The main reasons are price cuts from low-end notebooks and the launch of the Intel CULV platform for affordable ultrathin notebooks. Alternatively, some customers seem to be waiting for Intel's next-gen Atom.
Another reason for dropping netbook demand is users delaying their purchases to wait for Intel to launch the next generation Atom processor in the second half of this year, the sources noted.
Intel has started turning its supply priority of Atom processors to second-tier and China-based vendors hoping to clear inventory, added the sources.