Intel under attack on server front -

Mighty X86 firm Intel looks as if it might have a new vulnerable point – and this time it’s on the server front.

According to Silicon Valley News, Applied Micro Circuits is on the verge of releasing a low power semiconductor aimed at the server market. Analysts believe, according to the report, that it will lose market share to the Sunnyvale minnow.

Intel, most believe, has already lost the plot against ARM and the army of low cost tablets and smartphones with sales of notebooks and PCs under threat.

Its position has been protected in the server market where it currently dominates the market although servers based on ARM architecture are expected to nibble at Chipzilla’s server gravy chain.

The Applied Micro processor – dubbed the X Gene – will be adopted by Hewlett Packard, according to the report.