Intel intends to give priority to its high-margin products mainly server-use processors and chipsets amid its tight 14nm process capacity, and therefore plans to outsource the production of its entry-level H310 and several other 300 series desktop processors to TSMC, the sources indicated.

Intel has seen its overall 14nm chip supply fall short of demand by as much as 50%, the sources said. Outsourcing has become the only and appropriate choice for Intel since the company is unlikely to build additional 14nm process capacity, the sources noted.

After 10nm process failed miserably management don't know that to do.

Yet we can see here forming of new cartel and foundation for rising CPU prices. We already have cartel agreements in HDDs, RAM and NAND.