According to recent reports from research firm Minutes Logic Society, Intel is planning a third price increase for its Xeon and Core processors in May. This move follows earlier price hikes that were already introduced in February and March.
The rise in prices began at the start of the year, with increases of around 10% to 15% across several product segments. In March, another similar increase was reported, with the Core Ultra consumer lineup being one of the most affected. With the new adjustment expected in May, Intel aims to bring prices to around 30% higher than the levels seen in 2025.
Intel May Increase CPU Prices Again
This increase is expected to affect Intel’s full processor lineup, from Core chips for consumers to high-end Xeon CPUs used in servers.
One of the main reasons behind the price increase is the growing demand from AI data centers, which are consuming CPU production at an unprecedented rate. While AI infrastructure was initially focused mostly on GPUs, modern server designs are now increasing CPU demand as well.
The CPU-to-GPU ratio in servers has reportedly changed from 1:12 to 1:8, and it is expected to soon reach 1:4. This means one CPU socket is now needed for every four graphics cards, sharply increasing processor demand for companies such as Intel and AMD.
There are also additional supply chain issues adding pressure to costs. Although Intel manufactures much of its silicon in-house, it still depends on TSMC for certain chip components and advanced packaging. Shortages of key materials, along with geopolitical issues affecting the supply of gases such as helium and neon, are also pushing prices higher.
