Tech

AMD Achieves Highest x86 Market Share Amid Declining Desktop Processor Performance

big picture: AMD’s x86 efforts continue to bear fruit, slowly eroding Intel’s dominance in all market categories. Intel should be particularly concerned about AMD’s continued success in the server market, where companies are slowly warming up to the idea of ​​using the latter’s Epyc processors. Meanwhile, the desktop processor market is going through hard times, and Arm chipsets are growing in importance in both the desktop and laptop markets.

AMD’s GPU efforts weren’t enough to seriously compete with Nvidia, whose graphics cards dominate the Steam charts and are also among the best sellers on the market. Amazon and Newegg. In the short term, the situation is unlikely to change despite the Team Red RDNA 2 update, as a cautious third player in this market plans to detract from its appeal in the budget and mainstream segments.

When it comes to processors, AMD continues to hum, as Intel has introduced a powerful Alder Lake lineup to consumers and has even gone to great lengths to make its Xeon Scalable processors more attractive compared to Epyc’s data center offerings. According to the latest market report from Mercury researchAMD continued to undermine Intel’s dominance in the x86 processor market during the first quarter of this year.

Mercury President Dean McCarron says almost every segment of the processor market saw a downturn during the quarter, with desktop processor shipments facing the biggest quarterly drop on record, down 30 percent. This is the cumulative effect of slowing PC demand, factory closures and continued shortages. chipspassive components and various materials and gases.

AMD achieved a record 27.7% share of the overall x86 market, surpassing the previous milestone of 25.6% achieved in the last quarter of 2021. -quarter decline of 2.1 percentage points. However, McCarron notes that Intel likely posted some year-over-year growth in the desktop segment, where the decline in the first quarter of 2022 was partly driven by overstocking from OEMs.

Intel has experienced some pressure from AMD in the server market, where the latter has had great success with its Epyc offerings and now has an 11.6% share. And it looks like the battle will intensify with the arrival of Zen 4 Epyc later this year. Companies like Netflix are increasingly turning to AMD server processors to solve their hyperscale headaches, but pulling customers away from deep-seated Intel will be a long-term struggle for Team Red.

Mobile processors are a different story, and both Intel and AMD have been hit hard by the slowdown in laptop shipments. However, AMD is prioritizing the production of Ryzen processors (as well as Epyc processors for servers). This resulted in modest quarterly growth as well as a significant 4.4% year-on-year increase in notebook processor market share for AMD.

Mercury Research analysts also note that sales of Arm chipsets continued to rise over the same period, driven mainly by Chromebooks and Apple M1 Mac computers. The Cupertino giant has moved most of its hardware lines to apple silicon, and now one in ten PCs shipped is equipped with an Arm chipset. Meanwhile, the average selling price of mobile and desktop processors is now a record $138, a clear sign that the market has matured and consumers are increasingly opting for higher-end products.


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