We just got off the phone with Nick Knupffer of Intel, who confirmed something that has long been speculated upon: the fate of Larrabee. As of today, the first Larrabee chip’s retail release has been canceled. This means that Intel will not be releasing a Larrabee video card or a Larrabee HPC/GPGPU compute part.
The Larrabee project itself has not been canceled however, and Intel is still hard at work developing their first entirely in-house discrete GPU. The first Larrabee chip (which for lack of an official name, we’re going to be calling Larrabee Prime) will be used for the R&D of future Larrabee chips in the form of development kits for internal and external use.
The big question of course is “why?” Officially, the reason why Larrabee Prime was scrubbed was that both the hardware and the software were behind schedule. Intel has left the finer details up to speculation in true Intel fashion, but it has been widely rumored in the last few months that Larrabee Prime has not been performing as well as Intel had been expecting it to, which is consistent with the chip being behind schedule.
Bear in mind that Larrabee Prime’s launch was originally scheduled to be in the 2009-2010 timeframe, so Intel has already missed the first year of their launch window. Even with TSMC’s 40nm problems, Intel would have been launching after NVIDIA’s Fermi and AMD’s Cypress, if not after Cypress’ 2010 successor too. If the chip was underperforming, then the time element would only make things worse for Intel, as they would be setting up Larrabee Prime against successively more powerful products from NVIDIA and AMD.