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I am completely baffled that Intel did not do this. I guess they figured ATOM is just a crappy little side-project processor, not one of the big boys.

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Some see the move to many-core ATOM servers , as a move to put financial pressure on intel(since ATOMs are cheap).

And this move helps the future of ARM based servers , since ARM is more similar to ATOM than to XEON.

There's going to be limits to the amount of pressure as long as Intel doesn't offer ECC for any Atom variety microarchitecture. One of the articles I read said that they thought about using an AMD chip but it wasn't going to ship soon enough. I can see them hearing from their customers (would be and actual) that they'd buy more if they offered ECC and SeaMicro offering an AMD based box in the future.

I wonder how Atom specific the ASIC is....

i think that the chip also suits the ARM architecture without changes.

They basically did it's called Larrabee and it is now being transformed into a server product.

It looks to me like Larrabee's successor is is going after the high-performance computing market, not the server market. Why else would they devote so much die area to having loads of wide floating-point SIMD units?

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