Reuters said some procurement agreements with Chinese server customers run for more than two years, while AI-driven data center demand has pushed certain server CPU prices sharply higher this year.
Intel and AMD are signing server CPU procurement agreements with Chinese server customers that in some cases extend beyond two years, Reuters reported on July 23. The contracts lock in volumes but usually leave pricing open, a structure that can help buyers secure supply while exposing them to later price changes. Demand tied to AI data center buildouts has tightened the market in China, lifting some server CPU prices by more than 40% this year, with certain products posting monthly gains above 10%.