CPU prices post huge drops in 2008, Intel delays CPU+GPU

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CPU prices post huge drops in 2008, Intel delays CPU+GPU

Chicago (IL) – Baird analysts sent out a research note earlier today, telling customers that Intel will delay its Havendale CPU+GPU processor by one quarter into 2010, while average CPU pricing for both AMD and Intel is showing sharp drops for 2008.

The news of the Havendale delay follows on the heels of AMD announcing that its first Fusion processor has been shifted from a 45 nm to a 32 nm process and delayed into 2011 as a result. Baird refers to a previously posted Fudzilla article, which broke the Intel news late last week.

Havendale will be Intel’s first processor with a heterogeneous multi-core structure, integrating a GPU on the CPU die. Reasons for the delay are unknown. According to Fudzilla, Intel will begin production of (45 nm) Havendale CPU+GPUs in Q4 2009 with an anticipated launch date of Q1 2010.  

Last month, AMD said that it decided against a Fusion (with 45 nm Shrike core) introduction in 2010. Instead, the originally called Fusion will debut with the 32 nm Llano core in 2011. Like Havendale, Llano will have four cores and DDR3 memory support.

Baird also laid out sharp declines in average processor prices across AMD’s and Intel’s CPU families. Over 2008, Intel’s Core 2 Duo series dropped by 17%, Core 2 Quads (including Extreme) by 22% and Xenon chips by 10%. AMD reduced its prices even more aggressively, with Athlon 64 X2 prices falling by 36% and Phenom CPU prices dropping by 39% this year. The only processor family to post slight gains was Intel’s Celeron, which added 4%, Baird said.

As recently as two weeks ago, Intel spokesman George Alfs told TG Daily’s Hodgin that all products planned for 2H 2009 would still arrive in 2H 2009. He also said Intel has $15 billion cash on hand and that no products were being affected by economic conditions or the revised 4Q 2008 outlook. Hodgin asked Alfs that question in direct response to an article Charlie Demerjian posted on TheInquirer.net regarding rumors of Intel product delays.