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

Intel 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.