Sources familiar with the matter revealed that Intel (INTC.O) and AMD (AMD.O) are signing long-term procurement agreements for data center processors with Chinese server customers. The agreements currently under discussion typically lock in purchase quantities but not prices. Most agreements cover supply for about one year, although one source indicated that Intel and AMD have also discussed supply commitments for two years or longer with some customers. CPU shortages will likely be one of the key topics Intel will discuss when it releases its quarterly earnings report on Thursday.
