PC sellers will have a miserable Christmas due to a glut of motherboards brought about by processor refreshes. Goldman Sachs (Asia) executive director of technology research, Henry King says that desktop motherboard demand was weak.
This was caused by Microsoft's introduction of Vista increased demand for laptops, and Intel and AMD's push on dual-core chips. Altech national sales manager, Kevin Hartin told Arnet.com that when Intel released the Core2Duo it meant a complete refresh of chipsets.
Processors
supporting the Intel 915 chipset dried up along with demand for the
older technology and motherboard manufacturers have a backlog.
AMD's move to the AM2 processor lead to an oversupply of AMD 939 motherboards on the market. Altech had to discount its prices.