Dissatisfaction in the market: Intel raises the price of old processors
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It seems that Intel is not at peace with its existing position in the market and has decided to “heat up” the situation a little by raising the prices of its processors. And it’s not just about the latest, brightest models. Interestingly, this price hike has also affected previous generations of chips, which are still popular among PC enthusiasts looking to build budget-friendly PCs. It comes as a bitter surprise to many who have already planned to restore their equipment, hoping for a bargain purchase.
Old generation processors are getting more expensive
This price increase affected processors from different generations: Alder Lake (12th generation), Raptor Lake (13th generation) and even Raptor Lake Refresh (14th generation). According to information provided by industry sources, prices in the United States have increased by about 10%, while in international markets – up to 20%. This is a significant increase that can change the choice of buyers.
Data from the South Korean portal Danawa show that the prices of the most popular models have risen sharply between the end of September and mid-October. For example, Intel Core i3-14100F has become 15% more expensive, Core i5-14600KF by 13%, Core i5-12400F by 11%, and Core i5-14400F by 6%. These are the very processors of the “workhorse” class, popular for their optimal price-performance ratio. A similar trend can be observed in Japan, where, according to GAZ:Log, Core i3-14100 and i3-14100F have increased in price by 10% and 2.6%, respectively. Even the mid-range Core i5-14400 and i5-14400F have seen price increases of 20% and 11% respectively. Even the apparently “intact” ones – the older Core i7 and Core i9 – have not remained indifferent, and their prices have increased by about 5%.
Why now? Production nuances and the AI market
Analysts say that such a move on the part of Intel could be related to the peculiarities of production. The new Arrow Lake processors (Core Ultra 200S), although available, are not getting enough response from buyers yet. There are several reasons: the high price and, according to some reviews, not quite impressive performance. Although Intel actively positions this line as “artificial intelligence (AI) processors”, for many users this is not a sufficient argument to rush the power of the computer.
In fact, by raising prices on older processors, Intel could be trying to improve its bottom line. The production of Alder Lake and Raptor Lake processors takes place on the already polished and fully optimized Intel 7 technological process, which works at full capacity. Arrow Lake, on the other hand, is partially manufactured in external TSMC factories, which limits the flexibility of the pricing policy. Therefore, instead of reducing the prices of the latest chips, the company chooses to “adjust” the profit from its fully controlled production processes.
A strategic decision in the middle segment
This price increase is not uniform across the product range. This mainly affects some of the most popular mid-range models on the market, such as Core i5-14400 and Core i3-14100F. It is these processors that provide Intel with the highest sales volume and are in high demand among both enthusiasts and ordinary computer users. Therefore, even a small price increase can significantly affect market dynamics and make consumers rethink their buying habits.
While Intel continues to actively promote the new Arrow Lake generation, demand for the older series remains solid. In this context, the price increase seems like an attempt to compensate for the unsuccessful launch of new products and restore the balance between profit and market demand. For users, this means that getting a mid-range Intel processor at an attractive price is becoming increasingly difficult. This situation could also contribute to increased competition from AMD, which opens up new opportunities to attract buyers.
