If they rely solely on 20A it wouldn’t be bad news. It’d mean that they had the yield / performance to do it. If 20A doesn’t appear to be ready they would just stick with plan A. It’d be a bullish sign overall.
That's making a lot of assumptions. N3B is already having yield problems, at least by TSMC standards, which is why Intel appears to be skipping it entirely (or is at least trying to). So to reiterate, they already have Arrow Lake laid out on 20a (6+8) and N3B (8+16). Skipping N3B entirely means one or more of the following:
1). No 8+16 chiplets, at all. Seems unlikely, especially after the Meteor Lake, er, ahem "situation"
2). Spend lots of time and money porting Arrow Lake to N3E and hope it gets close to the current launch window. That's risky. If TSMC doesn't hit their production targets perfectly for N3E or if it's going to take too long for Intel to port Arrow Lake over to N3E (or if it's just too expensive for the suits upstairs) then you get
3). Intel sucks it up and decides to use 20a for everything, including all the fun yield goblins on larger die sizes that caused them to source extra N3B capacity from TSMC for Arrow Lake chiplets in the first place
They simply can't use N3B for Arrow Lake compute chiplets now since, apparently, Intel has delayed wafer delivery and now Apple has all TSMC's remaining N3B capacity. Even if 20a proves to be a bloody disaster for 8+16 chiplets (which, again, is allegedly why Intel was avoiding that in the first place), they simply may not have another option.
On top of all that, we still don't know if Intel is volume constrained by EUV equipment availability.
@lightisgood
N3A? Do you mean N3AE? That's meant for automotive, and uses the same PDK as N3E (apparently). I've seen no reports of good or bad things about that node, and unless you're working for Bosch or Denso or someone like that, you'll probably never know.