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AMD is rumored to reduce production capacity of Ryzen 7000 processors due to lower than expected sales, mainly due to the high build cost caused by #AM5 (184007)

AMD will officially launch the new AM5 platform and Ryzen 7000 processor at the end of September 2022. In addition to a comprehensive upgrade of the architecture and sockets, it will also bring new channels including PCIe Gen 5 and DDR5. However, according to rumors, AMD is evaluating the current PC market Currently, the production capacity of Ryzen 7000 series processors is being deliberately reduced.

▲ While AM5 brings new channels like PCIe Gen 5 and DDR5, it also carries over into the system build cost

Ryzen 7000 is not a bad performer. In fact, Ryzen 7000 is still quite popular with enthusiasts The sales performance of Ryzen 9 7900 is quite good, and its shipping and sales performance is better than that of Ryzen 7 7700X and Ryzen 7600X; but the problem lies in AM5 It is a brand new platform. Due to the addition of multiple PCIe 5 channels, the cost of the motherboard is relatively high, and only the current price of DDR5 can be used, which makes the cost of buying the Ryzen Platform 7000 is relatively high, although the subsequent B650 is cheaper than the X670 chip. The launch of the motherboard brought the price down a bit, but the entry price was still higher than AMD had expected.

After all, the main force driving market sales is often not the group at the top of the pyramid. At the launch of the AM5 platform, the Ryzen 5000 series and the AM4 platform that are still on sale have a value of C /P better and they are more in line with the price that mainstream players can accept However, AMD will have to worry about how to allocate production capacity next, because AMD’s mobile platform plan in 2023 will span three architectures, Zen 2, Zen 3 and Zen 4, as well as the next generation server class processor Zen 4 EPYC 4. CPU dies that go to Ryzen 7000, not to mention gaming dies that need to be shipped to Sony and Microsoft .

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