Intel reportedly says it boosted yields by selling what would normally be 'scrap' or 'low-expectation' CPUs — customers more willing to accept lesser chips due to overwhelming CPU demand
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AI GeneratedIntel has seen an unexpected increase in profit margins by selling CPUs that would typically be considered scrap or low-quality due to overwhelming demand for CPUs. The company's first-quarter earnings surpassed expectations, with revenue hitting $13.6 billion and gross margins reaching 41%. Intel has been able to sell chips that would normally be discarded as lower-tier SKUs at usable prices, contributing to the revenue boost. The high demand for CPUs, particularly for AI-driven infrastructure, has led customers to purchase even lower-quality chips, providing Intel with additional revenue.