Who said that lol Intel 4/3 is still ramping don't forget Xeons shares the fab with meteor Lake as well i think Intel 3/4 is a bit capacity constrainedFirst, Intel does not have a shortage of server parts, so there is no opportunity cost.
And second, "Intel 3" based Xeon parts are not selling in high volume. These are Sierra Forrest and Granite Rapids parts, launched earlier this year, and they don't have a lot of traction. The main volume Intel server parts are now Sapphire and Emerald Rapids - used in NVidia DGX boxes.
As for Planning i think battlemage was planned before Intel 4/3 had hope.So this would have been a perfect opportunity for Intel to avoid at the same time, its own fab underutilization charges, and also paying to TSMC, for a node that is in high demand (N5)
why do you think they are adding ARL-U and Intel 3 die on PTL they are increasing capacity For these nodes still