Intel has implemented substantial cuts in the Price of Xeon 6, its latest generation of server processors. It is a significant change in strategy to maintain dominance in data centers against AMD and also in front of other companies such as NVIDIA and its accelerators that intend to take the AI market.
The price cut of the XEON 6 has occurred discreetly, without official announcement, although they have been reflected in the company’s ARK database. The descent is not usual in Intel and occurs only four months after launchmedia such as Tom’s Hardwarewho realized the changes.
The price of the Xeon 6 and the battle in Data Center
The XEON 6 family is the latest generation of Intel processors for servers, data centers, cloud computing, Edge and IA Important advance in terms of performance and efficiencyas well as specialization, since they are marketed in dozens of different versions and in two large models: ‘Sierra Forest’ and ‘Granite Rapids’.
Taking into account that Xeon 6 are the most expensive CPUS in the history of Intel and that the competition also advances (especially in data centers for ia where AI accelerators dominate), forces new strategies and costs are an important key .
Price reduction is quite drastic And it is reflected in the range of the platform, the XEON 6980P, which now costs $ 12,460, no less than $ 5,340 less than in the launch. Another of the reduced models (- $ 1,585) is the XEON 6975P of 96 cores. Three of Intel’s “Granite Rapids” CPUS are now 30% cheaper, while two others have experienced 13% reductions (6972p) and 20% (6952p).
Intel and AMD – CPUS prices for servers
The strategy seems to be the price of the Xeon 6 Below its direct competitorsthe latest EPYC “Genoa” processors of AMD, both in absolute numbers and in terms of price per nucleus. This makes Intel processors more competitive for cloud service providers who strive to achieve multiple metrics, including socket yield, socket nuclei, watt performance and, of course, the total cost of Property (TCO).
Not everything is advantages and, in efficiency, for example the EPYC 9654 of 96 AMD nuclei has a base processor power of 360? On the other hand, the fact that Intel had to reduce the prices of its latest generation processors XEON 6900P ‘GRANITE RAPIDS’ up to $ 5.340 per unit indicates that they are not exactly satisfied with the number of units sold and that he would like to increase Sales.
Another clear reason for price reduction could be the Intel intention to stop, or at least slow down, strengthening the AMD position In the CPU market for data centers, which according to Mercury Research increased above 24%. It is the highest quota of AMD for 10 years.