--- title: "Intel, AMD Secure Long-Term China CPU Deals as AI Demand Pushes Prices Higher" type: "News" locale: "en" url: "https://longbridge.com/en/news/293558480.md" description: "Intel and AMD are securing long-term supply deals with Chinese server customers as AI demand drives up CPU prices, which have risen over 40% this year. These agreements lock in volumes while allowing flexible pricing, reflecting tight market conditions and U.S. export restrictions on advanced GPUs. Both companies face supply constraints, with Intel reporting lead times up to six months and AMD raising its market forecast to $120 billion by 2030." datetime: "2026-07-23T04:39:19.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/293558480.md) - [en](https://longbridge.com/en/news/293558480.md) - [zh-HK](https://longbridge.com/zh-HK/news/293558480.md) --- # Intel, AMD Secure Long-Term China CPU Deals as AI Demand Pushes Prices Higher Semiconductor companies Intel (INTC) and Advanced Micro Devices (AMD) are signing longer-term supply deals with Chinese server customers as prices surge, according to _Reuters_. The deals reflect strong AI infrastructure demand, which continues to tighten the market for data center chips. ### Claim 55% Off TipRanks High conviction NVDA bears now have this Tradr ETF The talks show that the AI boom is no longer lifting demand only for Nvidia's (NVDA) GPUs (Graphics Processing Units). Companies are also buying more server CPUs, memory chips, networking gear, and inference hardware needed to build and run AI data centers. China remains one of the world's largest server markets as companies continue investing in AI data centers and computing clusters. With U.S. export restrictions limiting access to the most advanced AI GPUs, demand for these processors has become even more important. This has given Intel and AMD greater pricing power and encouraged customers to secure long-term supply agreements. ## **AI Demand Tightens CPU Supply** The report said the proposed agreements would lock in purchase volumes, though prices would remain flexible. Most contracts cover about one year of supply, but Intel and AMD have also discussed deals lasting two years or longer with some customers. Server CPUs have become harder to source as cloud providers and tech companies expand their AI infrastructure. _Reuters_ said prices for some server CPUs in China have risen more than 40% since the start of the year, with some products seeing monthly price increases of more than 10%. Higher chip prices could increase costs for Chinese AI data center operators and slow the rollout of new computing capacity. ## **Customers Already Warned About Supply Constraints** Earlier this year, _Reuters_ reported that both Intel and AMD warned Chinese customers about longer delivery times for server CPUs. Notably, some Intel Xeon processors were reportedly facing lead times of up to six months. Intel CEO Lip-Bu Tan also said during the company's April earnings call that demand for Xeon server processors continued to outpace supply. He added that Intel had signed several long-term supply agreements, including a multi-year deal with Google (GOOGL). Meanwhile, AMD has become more bullish on the server CPU market. The company recently raised its forecast for the server CPU market to more than $120 billion by 2030, citing strong demand from AI applications, including agentic AI. ## **INTC or AMD: Which Is the Better Chip Stock?** We used the TipRanks Stock Comparison Tool to identify which chip stock is more favored by analysts. Currently, AMD has a Strong Buy consensus, while INTC has a Hold rating as analysts remain cautious about Intel's ongoing turnaround efforts. Even so, Intel's average price target implies a higher upside potential over the next 12 months, despite the stock surging 185.8% year-to-date. ### Related Stocks - [INTC.US](https://longbridge.com/en/quote/INTC.US.md) - [AMD.US](https://longbridge.com/en/quote/AMD.US.md) - [AMDY.US](https://longbridge.com/en/quote/AMDY.US.md) - [AMDG.US](https://longbridge.com/en/quote/AMDG.US.md) - [LINT.US](https://longbridge.com/en/quote/LINT.US.md) - [INTW.US](https://longbridge.com/en/quote/INTW.US.md) - [AMUU.US](https://longbridge.com/en/quote/AMUU.US.md) - [AMDD.US](https://longbridge.com/en/quote/AMDD.US.md) - [AMDW.US](https://longbridge.com/en/quote/AMDW.US.md) - [AMDL.US](https://longbridge.com/en/quote/AMDL.US.md) - [INYY.US](https://longbridge.com/en/quote/INYY.US.md) - [DAMD.US](https://longbridge.com/en/quote/DAMD.US.md) - [SMH.US](https://longbridge.com/en/quote/SMH.US.md) - [SOXX.US](https://longbridge.com/en/quote/SOXX.US.md) - [SOXL.US](https://longbridge.com/en/quote/SOXL.US.md) - [SOXQ.US](https://longbridge.com/en/quote/SOXQ.US.md) - [XSD.US](https://longbridge.com/en/quote/XSD.US.md) - [PSI.US](https://longbridge.com/en/quote/PSI.US.md) - [FTXL.US](https://longbridge.com/en/quote/FTXL.US.md) - [04335.HK](https://longbridge.com/en/quote/04335.HK.md) - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [GOOGL.US](https://longbridge.com/en/quote/GOOGL.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) - [GOOG.US](https://longbridge.com/en/quote/GOOG.US.md) ## Related News & Research - [Powertech says it is on track to ship for AMD soon](https://longbridge.com/en/news/294091001.md) - [Intel and AMD sign longer-term server CPU deals with Chinese customers as prices rise](https://longbridge.com/en/news/293708005.md) - [CORZ Stock Alert: Core Scientific Strikes AI Infrastructure Deal With AMD](https://longbridge.com/en/news/294105050.md) - [CBRS Stock Alert: What to Know as Cerebras Teams Up With AMD](https://longbridge.com/en/news/293768646.md) - [Intel’s AI Boom Raked in $2.5 Billion—Then Its Foundry Lost 84% of It](https://longbridge.com/en/news/293763444.md)