Intel reportedly suspends H310 supply on tight 14nm capacity

Intel's new-generation H310 desktop processors fabricated on 14nm process reportedly have run out of supply in less than one month after the chipset was launched in early April 2018, with sources from the motherboard sector saying the chip supplier's 14nm process capacity is too tight to support the entry-level desktop CPUs.

The company has maintained that its plan remains unchanged for H310 to be made on 14nm node, reports digitimes:

s H310 is widely adopted by makers of desktop motherboards, the ongoing supply disruption will further weaken demand during the low season in the second quarter, the sources lamented. Motherboard makers have been forced to adopt B360 as an alternative, which is similar in market position to H310 but carries higher cost. Desktop motherboard makers originally expected to receive a boost from Intel's full 300 series during the traditional low season after the company released the entry-level H310, mainstream H370 and enterprise-use B360, Q360 and Q370 processors in early April.The sources said motherboard makers had been told that the supply of H310 would resume in July at the latest.

Speculation has emerged claiming Intel suspended the supply of H310 because of a manufacturing process change from 14nm to 22nm for the chipset after a delay in advancing to 10nm had resulted in tight capacity for 14nm.

The sources said that since entering the 14nm process in 2014, Intel has slowed down its process progress, making 14nm its most enduring process node, having served Broadwell processors in 2014, Skylake in 2015, Kaby Lake in 2016, and Coffee Lake series launched between August 2017 and April 2018.

10nm volume production delayed to 2019

Intel initially planned to launch 10nm Cannon Lake CPUs in July 2018, but its CEO Brain Krzanich unexpectedly disclosed at a meeting with financial analysts in late April that volume production of 10nm chips will be moving from the second half of 2018 into 2019 as it will take time to improve yield rates.

Industry sources said that Krzanich's remarks have justified suspicions about the progress and yield rates of Intel's 10nm process, adding that the firm's IC scaling technology lead over Taiwan Semiconductor Manufacturing Company (TSMC) has narrowed.

According to Chipworks, Intel's 14nm chips boast the closest fin pitches achievable now, with its 14nm process outperforming the 10nm technologies of both TSMC and Samsung.

While Intel will not start volume production of 10nm process until 2019, TSMC has fared smoothly in process advancement, having kicked off volume production of 7nm process in the second quarter of 2018 to fabricate A12 processors for Apple's new iPhone devices and Qualcomm's smartphone APs, the sources said.

TSMC's 7nm+ involving EUV technology will be slated for production in early 2019, and 5nm volume production is set to start in 2020, with 3nm process also on the drawing board, the sources indicated.