AMD Says It Is Not Abandoning Socketed CPUs

Last week Japanese website PC Watch claimed that Intel's Haswell processors may be the last desktop-based CPUs with LGA packaging for the mainstream, off-the-shelf PC market. Starting with the Broadwell line, Intel will supposedly switch over to ball grid array (BGA) packaging, preventing the mainstream consumer from upgrading only the CPU because it's soldered into the motherboard itself much like Intel's Atom processors.

But the report only addressed processors for the mainstream market, and didn't mention high-end desktop platforms. There's speculation that Intel is moving to BGA multi-chip modules for the general PC shopper to address a market trend towards low-powered CPUs and ultra-thin form factors, but will likely still produce LGA-based CPUs for the DIY system builders looking for maximum power and performance (high-end gaming rigs, etc).

So far Intel hasn't confirmed nor denied the report, and in its silence CPU competitor AMD has decided to come forward to reveal its own plans for socketed CPUs. In a two-paragraph statement to TechReport, AMD's Chris Hook clarified that the company has no plans (at this time) to move to BGA-only packaging, and will continue on with its offerings of socketed CPUs and APUs in 2013 and 2014 with the "Kaveri" APU and FX CPU lines.

"As the company that introduced new types of BGA packages in ultrathin platforms several years ago, and today offers BGA-packaged processors for everything from ultrathin notebooks to all-in-one desktops, to embedded applications and tablets, we certainly understand Intel's enthusiasm for the approach," Hook stated. "But for the desktop market, and the enthusiasts with whom AMD has built its brand, we understand what matters to them and how we can continue to bring better value and a better experience."

But as TechReport points out, it's hard to predict what AMD's portfolio might look like in two years given its recent struggles. Will AMD even offer socketed CPUs for enthusiasts in 2014? Just last month AMD reportedly hired J.P. Morgan Chase & Co. to explore options for generating additional revenue. The company has been laying off engineers left and right, cutting costs, and is looking for new markets to generate money as the levels of cash reserves continue to fall.

Reuters reports that the company is even selling its Austin campus and then leasing it back just to free up some cash. "There are favorable economic conditions in the part of Austin where the campus is located," company spokesman Drew Prairie told Reuters. "Contingent on finding an investor who wants to do a multiyear lease-back, it's a good opportunity for us to unlock the value of the real estate to fund operations."

This won't be the first time AMD has sold off its assets. Prairie said that AMD has already sold its headquarters in Sunnyvale, California, and a building near Toronto, and is currently leasing them back to generate extra cash.

It will be interesting to see the CPU market in two years. Will socketed CPUs be a thing of the past? As Nvidia once told use back in April 2011, there will always be a market for the high-end, enthusiast PC, so don't expect to see LGA-based CPUs to end up in the back yard with wind-up cars and 3DFX GPUs any time soon.

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  • mouse24
    Wouldn't this require motherboard manufacturers to have more production lines as they would have to add different cpus for each mobo they make?
  • killabanks
    another reason to go AMD
  • ph1sh55
    I would think the xeon based high end desktop will stay LGA regardless since they are based on server parts ( i.e. i7-3970x 6c parts), so that may become the new focus for enthusiasts in the future.
  • I've never read an article that managed to not say anything. Basically, it says broadwell might be BGA... but not for the enthusiast market (gaming rigs and DIY). AMD then turns around and says it will not go BGA for the enthusiast market. How is AMD not saying anything different than what a Japanese site is reporting for Intel? The AMD in fact goes on and on about their BGA products. Then the writer tells us AMD hasn't a clue because they have no money and who knows who will own them. What a ridiculous article! Basically, AMD is making a statement a bunch of morons on this site will say makes AMD the choice of consumers, when they really aren't saying anything different than what some site claims Intel will do. Sheesh!
  • mikenygmail
  • SuperVeloce
    no, they are saying that processors like sandy-E will stay LGA, cpus like i7 3770 will be BGA.
  • DSpider
    I think it's a bad idea either way (either for the DIY market or for the low-end market). I have had several motherboards give out because of the PSU, but the CPU always survived, probably because of a surge protection or something. Anyway, I was able to move it to another motherboard, along with the RAM and HDD, and eventually give it away to someone who needed a PC. It would've otherwise ended up on a landfill somewhere.

    If Intel wants to be like Apple, where they're soldering everything to the motherboard so that repairability is out the door (forcing you to get a brand new one, so that they squeeze some more $$$$ out of you), then I'm never buying another Intel product ever again.
  • That is your opinion superVeloce. I don't think that is what it says. I don't think anyone is putting a 3770 in an "ultra thin platfor" or a low powered device.
  • ddpruitt
    It would be really interesting if Intel limits it's LGA offerings over the next few years. It may mean AMD may be the better choice, not because of performance but for upgradability and overall choice. Though I doubt that Intel will really cut back too much.
  • milktea
    AMD says it will continue to offer socketed CPUs and APUs in 2013 and 2014. But what about 2015 or 2016? It's not far from now. No plans for BGA in next year, doesn't mean it won't in the later years. Sooner or later, AMD will have to follow Intel's foot steps, because that's where the market is heading.