October 5, 2007

CPU Update

Open-market production desktop CPU trading has begun to slow slightly, as heavy demand and short supply of several 900 series and older 800 series CPUs began to taper off. However, mobile processor activity has accelerated.

Currently, general CPU trading tends to be divided into three distinct areas: production desktop, production notebook, and service/repair. Due to the nature of the open market, the balancing act between these three areas is mostly dictated by supply and demand rather than industry management. Oddly enough, as any one category tends to dip, another takes off. Of late, at least 60% of the CPUs we are shipping are to notebook OEMs. Seventy-five percent of our shortage requirements are for notebook builds, and mobile processor buyers are very interested in all cost saving opportunities. As the Santa Rosa platform is marketed heavily by Intel, for example, volumes of the Napa processors, in some cases, are being traded openly at significant savings.

Overall, the increased number of older technology CPUs shipped to repair sites this summer has positioned Converge as a one-stop-shopping house for those needing older or trailing edge AMD and Intel CPUs. For example, classic Pentium processors with 100 MHz core speed were recently sold. If you are in need of obsolete hard-to-find processors or need to sell no-longer-needed processors that may be in your inventory, contact a Converge sales representative.

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