Chipmaker Intel starts informing customers of price-hike plan

Chipmaker Intel starts informing customers of price-hike plan


Pat Gelsinger, CEO, of Intel Corporation, holds a semiconductor chip while testifying during the Senate Commerce, Science, and Transportation hearing titled Developing Next Generation Technology for Innovation, in Russell Senate Office Building on Wednesday, March 23, 2022.

Tom Williams | CQ-Roll Call, Inc. | Getty Images

Intel Corp said on Thursday it has started informing customers of its plan to raise prices for many of its chip products due to rising costs, a move that the company had first hinted in its first-quarter earnings call on April 28.

The price increases could come into effect in autumn and the percentage increases are likely to range from a minimal single-digit increase to more than 10% and 20% in some cases, Nikkei reported.

While the price hikes have not yet been finalized yet, it could cover Intel’s flagship products such as central processing units for servers and computers, as well as items including chips for Wi-Fi and other connectivity, the report said on Thursday.

Intel’s move comes amid a supply-chain crisis triggered by the pandemic that has deprived makers of personal computers and smartphones to cars of computer chips needed to make their products.



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