CONNECT WITH US

Highlights of the day: Server ODMs feel pressure from Intel CPU shortages

DIGITIMES staff

The impact of the shortages of Intel's 14nm CPUs seems to be rippling out from the PC to the sever sector. Sever ODMs now see tight supply for Intel 14nm CPUs with their stocks reportedly going under safe levels. Despite the pressure, the server ODMs' CPU stocks will still be enough to last through the fourth quarter of the year. For ODMs, profit margins for a lot of products are usually low, and the profitability of making the Apple Watch is said to be so low that its primary maker, Quanta Computer, is considering quitting. It remains to be seen whether Apple would allow it to do so. In the flat panel industry, China makers remain keen to build up their OLED production capacity. It is expected that 10 new 6G OLED fabs will have come on line in China by 2021.

Server makers see 14nm chip supply become tight: Server ODMs have reportedly seen the supply of Intel's 14nm CPUs become tight but remain sufficient to support their shipments in the fourth quarter, according to sources from the server industry.

Quanta mulling stopping assembly for Apple Watch in 2020, say sources: Apple Watch is emerging as a crucial cash cow for its vendor, but it seems a hot potato for its most veteran assembler Quanta Computer, which reportedly is considering stopping assembly operation for the device in 2020 amid thinning profitability, according to industry sources.

10 new 6G OLED fabs to go online in China by 2021: Ten new 6G OLED fabs are set to come online in China by 2021, despite some delays resulting from the US-China trade tensions and weak demand, according to a Taiwan-based upstream supplier.