Dr. Dobb's | Intel's Quad-Core, Xeon 3000 Launch Excites Partners

Intel's Quad-Core, Xeon 3000 Launch Excites Partners

At its developer forum this week, Intel is expected to announce that its much-anticipated quad-core desktop and server processors are slated to ship in mid-November.

September 25, 2006
URL:http://www.drdobbs.com/parallel/intels-quad-core-xeon-3000-launch-excite/193005154

Intel will try to multiply its market and channel momentum with the launch of its first quad-core processor and Xeon 3000 SMB server platform this week, sources said.

At the Intel Developer Forum this week in San Francisco, the company is expected to announce that its much-anticipated quad-core desktop and server processor is slated to ship in mid-November, sources told CRN. Sources believe the quad core will be named Intel Core 2 Quad or Core 2 Quadro. The current dual-core processors, for which Intel launched its Multiple branding campaign last week, are known as Core 2 Duo.

Partners say they are very excited about the industry's first quad processor because it will work with existing 5000 series motherboards that were designed for dual-core systems, sources said. For example, the quad-core processors can be "dropped" right into Intel's Xeon-based Bensley server platform, said one source.

"It's a huge boost because I won't have to retool and rework the motherboard switching to quad-core from dual-core," said one system builder who requested anonymity. "It was a difficult transition switching from single- to dual-core Xeons."

Intel, Santa Clara, Calif., also is expected to officially launch three Xeon 3000-based entry-level server boards that support multiple Intel processors, including Xeon, Pentium and Centrino, at attractive pricing, sources said. The Xeon 3000, essentially a rebranding of its high-end Core 2 Duo desktop processor, will be priced at $150, sources said.

Intel also will offer three motherboards that incorporate the Xeon 3000 chipset: the $250 S3000AHLX, which supports PCI-X 64; and the $200 five-slot S3000AH and $170 four-slot S3000AHV, both of which support PCI-Express and PCI.

"That's very aggressive pricing," said another channel source. "I'm used to paying in the $350 to $450 range for a server-class motherboard."

The products bolster Intel's partner-courting efforts, including a channel reorganization and a strong product counterattack against Advanced Micro Devices. AMD is expected to release its quad-core mid-2007 and said the Xeon 3000 is a simple rebranding of the Core 2 Duo desktop chip.

Most partners believe AMD will remain strong in the channel, but the winds are shifting in Intel's favor. "Intel's competitive again, and AMD sidling up to Dell is rubbing partners the wrong way," said one partner, who requested anonymity. "There's a net negative between the channel and AMD because it takes away a key competitive advantage the channel had against Dell." Tau Leng, director of marketing at SuperMicro, San Jose, Calif., said the quad-core and Xeon 3000 boards likely will fuel Intel's growth in 2007, but he's adopting a wait-and-see attitude.

"The Xeon 3000 is the same as the released Conroe-Makiteo II that has been already gaining momentum, and I expect it will continue getting more [share] of the entry-level server market. As for the [quad-core], it just started. Some customers showed interest, but it needs time to prove [itself] and be accepted on market," Leng said.

"There will be a strong market for the quad-core," said Richard Stafford, senior marketing manager at WinTec Industries, Fremont, Calif. "Bear in mind that server systems being sold now will not only support Clovertown [quad-core server processor], but also one or two subsequent families of Xeon processorsthis is huge," he said.

One key Intel Premier Partner is optimistic about the prospects for Intel's new channel offerings.

"Intel has made amazing strides in the channel in the past yearthe amount of offerings they've had has almost doubled, and it's not a bad thing for partners," said David Stinner, president of US itek Group, a system builder and managed services provider in Buffalo, N.Y. "They have a good mix."

Intel's recent product rollouts with its Core 2 Duo systemsincluding vProhelp its system builders launch systems that compare favorably to AMD systems and that also help partners move into the managed services business, partners claim.

"As far as the quad-core and Xeon 3000 goes, we'll see," said Jeff Di Bella, vice president of sales at AOpen Center, Gaithersburg, Md. "I'm anxious to see the evaluation units. This single Xeon processor platform will be huge for small businesses and their ability to finally be able to afford true server-grade computing [to this audience]."

Other Intel partners say the quad-core, vPro and Xeon 3000 processors are interesting partner plays, but channel partners need to pick and choose carefully. While some partners say vPro is great for moving into managed services, others are worried about cannibalizing their own revenue stream.

"We will sell quad-core when they cost less than $600," said Steve Bohman, vice president of operations at system builder Columbus Micro Systems, Columbus, Ohio. "The Xeon 3000 will be important to our small-business server businesswe sell many single-processor servers already."

One system builder said quad-core and Xeon 3000 are tomorrow's news. "New technologies are very interesting, but we tend to concern ourselves with what's available today," said Glen Coffield, president of CheapGuys, a system builder in Orlando, Fla., that recently shipped its first server and has entered the managed services business.