Four months after unveiling its Xeon 6-series Granite Rapids server processors, Intel has quietly adjusted its pricing strategy, slashing prices on its flagship models by thousands of dollars. Though the company has made no official announcement, this unpublicized move could mark a pivotal shift in its battle against AMD for data center market leadership.
According to updated Intel ARK listings, the 128-core Xeon 6980P has seen a 30% price reduction, dropping from $17,800 to $12,460 —a $5,340 cut. Similar adjustments apply across the lineup: the 96-core Xeon 6972P now costs 13% less, while the 6952P has been discounted by 20%. Industry insiders note that such rapid price reductions so soon after product launch are unprecedented for Intel, potentially making its offerings far more compelling for cloud providers prioritizing core density and operational efficiency.
Analysts suggest two potential motivations behind the move. First, it may signal an aggressive play to counter AMD, whose data center market share reached 24.2% in Q3 2024—its highest since the mid-2000s. Second, it could reflect weak demand, as major clients like AWS and Microsoft Azure often negotiate custom chip procurement deals, diminishing the relevance of official recommended pricing. The price cuts might also precede the imminent launch of Intel’s 288-core Xeon Sierra Forest processors, slated for release this quarter. These chips would directly challenge AMD’s 192-core EPYC 9965 Zen 5c, though AMD currently retains an edge in energy efficiency.