Two years ago, AMD tried to cut its reliance on the plodding x86 design by building server chips around ARM, the hot architecture driving mobile devices. That hasn’t worked out, and the company is now putting its faith back in x86.

At an investor meeting on Wednesday, AMD further delayed its ARM-based server chip code-named Seattle and cut a major project that could have bridged the gap between its x86 and ARM chips. AMD executives also took responsibility for misreading the fast-growing server market, which is dominated by Intel x86 chips.

AMD is still developing ARM-based server chips, but instead of mainstream servers, those chips will now be aimed mainly at storage, networking and other infrastructure equipment. That’s a downgrade from AMD’s focus over the last two years to make ARM servers the centerpiece of server rooms.

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