JPMorgan experts identified the following possible customers for which Intel will produce chips

According to JPMorgan, Intel will expand the company acting as contract manufacturer of semiconductor products.

As is known, the reduction in demand for PC processors has caused difficulties with loading capacities Intel own needs and the company began to take an interest in contract manufacturing.

First party company, had the opportunity to order the output on the most advanced 22-nanometer manufacturing, has become specialized in developing FPGA company Achronix Semiconductor, has signed an agreement with Intel in 2010 . Details on the world's first 22-nanometer FPGA appeared in the spring of last year, and to the supply of FPGA Speedster22i, manufactured on Intel 22-nanometer technology , Achronix launched in February of this year, which gives an idea of how slowly growing cooperation between the two companies. This is not surprising, because Intel does not have experience of contract manufacturing and hardly in a hurry to reveal all the details of advanced production to another company.

In December last year, the head of Intel Paul Otellini (Paul Otellini) Intel confirmed the readiness to do contract manufacturing . His remarks fueled a wave of speculation and assumptions, including the assumption that one day Intel will produce ARM-compatible processors for Apple . Mr. Otellini said that Intel customers would not have to disclose the fact of the contract manufacturing at Intel facilities ahead of time, not to harm its relations with the present partners.

A week ago, it became officially known name of the next customer - contract manufacturer Intel will make 14-nanometer chips Altera .

According to some estimates, even a major customer, the company Altera, which is one of the world's two largest producers of FPGA, can not compensate for the capacity underutilization Intel. In order not to incur losses due to idle factories for the construction of which was spent enormous sums, Intel will be looking for new customers.

The next customer is likely to Intel, according to JPMorgan, will Cisco and Brocade, and eventually - and Apple. In 2017, contract manufacturing will bring Intel about 6% of total revenue, analysts say.

Source: theflyonthewall.com