Skip to main content

AMD’s latest deal with GlobalFoundries could help close the gap with Intel

AMD’s upcoming chips might have a slight edge over competitor Intel, but will it be enough to stay competitive? According to Tom’s Hardware, AMD has just restructured its wafer supply agreement with chip manufacturer GlobalFoundries, into a five-year contract with some interesting stipulations.

Both Intel’s Kaby Lake and AMD’s upcoming Zen are chips built on the 14-nanometer node. How they stack up to one another in practice remains to be seen, as Kaby Lake processors are still rolling out and Zen has yet to hit store shelves. But they’re built on the same node size, which ultimately means they’re like fighters in the same weight class.

Recommended Videos

One could easily outperform the other, but they’re coming into the fight on fairly even ground.

AMD has been in business with GlobalFoundries since 2009, but their most recent agreement has been retooled in a couple interesting ways. First up, it’s not just another annual agreement between the two companies, as they’ve had in the past. AMD’s revamped agreement with GlobalFoundries is a long-term, five-year agreement to order a certain number of wafers each year.

The long-term partnership between the two companies is particularly interesting because GlobalFoundries is skipping the upcoming 10nm node, and going straight for the hotly anticipated 7nm node.

If AMD’s next-gen processors are coming from GlobalFoundries, that means they’re probably going to be on the 7-nanometer node, not the 10nm node which Intel will be using – Intel has heavily invested in the 10nm node, so it’s unlikely they’d skip it entirely.

What does all this mean for your PC? Well, it means that in a few years AMD might have have a slight edge over Intel, with processors that could do a lot more with a lot less. A chip built on the 10nm node could be at a serious disadvantage against a similar processor built on a 7nm node.

Naturally, AMD’s upcoming processor, the Zen+, is more than likely going to remain a 14nm chip. This revamped agreement with GlobalFoundries won’t bear fruit for a while, but it’s definitely an interesting move that could very well change the game for AMD and Intel.

Jaina Grey
Former Digital Trends Contributor
Jaina Grey is a Seattle-based journalist with over a decade of experience covering technology, coffee, gaming, and AI. Her…
I’m fed up with the AMD vs. Nvidia vs. Intel discourse, and you should be too
AMD RX 6600 among other graphics cards.

The rivalry between AMD, Nvidia, and Intel is exciting to watch at times. Which tech giant makes the best processors? What about graphics cards? This discourse is a bit of fun any PC enthusiast can have online, but too often, it devolves into something that can persuade buyers into bad purchases and push loyal fans into branded camps.

A little bit of competition between all three chipmakers is a good thing, but frankly, the amount of misinformation that stems from it makes life harder for most users. Here's why I'm sick of the never-ending online battle of AMD versus Intel versus Nvidia, and why you should be, too.
Misinformation and bias

Read more
Intel just made a huge comeback, and it’s bad news for AMD
Intel Core i5-13600K installed in a motherboard.

Although the client CPU market hasn't been in great shape in recent months, the latest results from Jon Peddie Research tell us that it might be bouncing back -- and the biggest gains definitely belong to Intel. According to the market figures, Intel's share saw a significant increase in the last quarter, while AMD suffered a loss.

Overall, the PC market hasn't been doing great after the unexpected heights it reached during the pandemic. The current state of the world economy has taken its toll on CPU and GPU sales. For Intel, things have been especially bad, as the company recently suffered the largest loss in history: $2.8 billion during the first quarter of 2023. However, at least as far as shipments go, things are looking up.

Read more
The gamers have spoken: AMD obliterates Intel in CPU sales
AMD Ryzen 7 7800X3D installed in a motherboard.

AMD's 3D V-Cache processors are some of the best CPUs, and they're certainly a hit among gamers. The sales figures speak for themselves: According to the latest numbers from Mindfactory, a German retailer, consumers are continuously picking AMD over Intel -- and the gap is huge. What's perhaps more interesting is that AMD's last-gen platform continues to dominate sales charts despite the lack of an upgrade path from the AM4 socket.

Shared by TechEpiphany on Twitter, these numbers spell great news for AMD. Of the top 10 processors sold in the last week on Mindfactory, nine are AMD chips. The Core i5-13600KF is the only Intel CPU to make it into the top 10, and it's coming in last at a shared number 10 spot with the Ryzen 5 5600. Each sold just 150 units.

Read more