In other words, while CPUs, GPUs, and game consoles were among the most visible commodities affected by shortages, it appears that supply and demand are already beginning to balance. However, networking chip vendors are still facing a substantial chip shortage: Gelsinger cited ethernet as a particularly challenging “ecosystem supply restriction” that has hampered PC sales.
But that isn’t why Intel’s Client Computing Group (which includes consumer CPUs) is down 13% this quarter. Intel attributed this to a “ramp-down of the Apple CPU and modem business,” “OEM inventory burn,” and “lower consumer and education demand” — essentially, schools are buying fewer Chromebooks, and Apple has all but completely transitioned away from Intel to its own M1 processor, leaving Intel laptops in the dust.
