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AMD to Cut production of Ryzen 7000 CPUs due to Lower Demand and Lukewarm Reviews [Report]

AMD is allegedly planning to reduce the production of its next-gen Ryzen 7000 desktop processors after a relatively weak quarter. The Zen 4 core architecture is up to 50% faster than preceding Zen 3 offerings, but an expensive platform upgrade and limited gains in gaming workloads mean limited adoption. Furthermore, the large inventory of Zen 3 and Zen 3D chips gives gamers ample options without splurging half their paycheck. The Ryzen 7 5800X3D ($399) is nearly as fast as the top-end Ryzen 7000 and 13th Gen Core CPUs in what can only be seen as AM4’s last victory.

WCCFTech sourced the report and believes that the lack of mainstream motherboard offerings (even the cheapest B650 boards lacking PCIe Gen 5 support are priced over $125) and high DDR5 memory pricing has slowed the transition to Zen 4. With Raphael, AMD again decided to ignore the budget and entry-level offerings. The Ryzen 5 5600 is a solid competitor to the Core i5-12400F ($129 vs. $174), but the upcoming 13th Gen Core i5 offerings won’t be subdued will just a price cut.

As with any Ryzen family, it’s usually the midrange R5 SKU with the bulk of the sales. However, the Ryzen 9 7900X is the bestselling Zen 4 SKU. Buying a nearly $300 board with a $300 CPU makes no sense, especially if you’re a mainstream user not into overclocking, Gen 5 SSDs, or the $1,599 RTX 4090. These figures aren’t from a localized retail market but global sales, indicating that AMD’s presence in the entry and midrange market will only decline in the coming months.

Of course, there’s rampant talk of the 3D V-Cache variants of Zen 4 vis-√†-vis Ryzen 7 7800X3D/R9 7900X3D/7950X3D, but we won’t be getting a taste of those any time before late Q1 2023. There have been rumors in the past about lower-end variants of Zen 3D but we haven’t heard any concrete on that since Raphael was announced. For the time being, the lower-end desktop processor market will remain relatively quiet. The i3 and cheaper i5 variants of Raptor Lake will be Alder Lake rebrands with the same core counts and cache. While they’ll still be faster than the Ryzen 5 5600, they’ll be more expensive and an inevitable investment if you don’t already have an LGA1700 board.

Areej

Computer hardware enthusiast, PC gamer, and almost an engineer. Former co-founder of Techquila (2017-2019), a fairly successful tech outlet. Been working on Hardware Times since 2019, an outlet dedicated to computer hardware and its applications.

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