Intel Confirms Nova Lake Will Use 18A-P Node, Plans to Shift Panther Lake Capacity to Data Center CPUs
During its Q3 earnings call, Intel confirmed that its next-generation desktop processor, Nova Lake, will utilize the enhanced 18A-P node. The company also announced plans to repurpose wafer capacity originally intended for Panther Lake chips to produce more Granite Rapids data center CPUs amid a declining PC market.
Intel CEO Lip-Bu Tan confirmed during the company's third-quarter 2026 earnings call that its next-generation desktop processors, codenamed Nova Lake, will be the first client products to use Intel's enhanced 18A-P manufacturing node. Further details are expected at CES in January.
In response to a shrinking PC market driven by persistent memory shortages, Chief Financial Officer David Zinsner stated that Intel intends to take some of its 18A wafer capacity offline from Panther Lake production to build more Granite Rapids data center CPUs. Zinsner projected that the total addressable market for PC units would decline by approximately 12% in 2026, with further contraction expected in 2027.
This strategic reallocation highlights how Intel is adapting its manufacturing priorities to counter weak consumer demand while capitalizing on the robust growth in artificial intelligence and data center infrastructure. Despite the near-term headwinds, the company maintains a positive long-term outlook for the PC sector.