Intel vs. AMD: Wins and Losses
Techtree News Staff, Jul 03, 2008 0906 hrs IST
Intel Adds Momentum, AMD Makes Long-Term Gains in Q1 Microprocessor Market
According to market researcher iSuppli, both Intel and AMD won-some and lost-some in the microprocessor market, as compared to last year.
"Intel was the short-term winner in the first quarter microprocessor market," observed Matthew Wilkins, principal analyst, compute platforms, for iSuppli. "But over the previous 12-month period, the trend is reversed, with AMD growing its share."
In the first quarter, Intel accounted for 79.7 percent of global microprocessor revenue, up 1.2 percentage points from 78.5 percent in the fourth quarter. AMD stands at a 13 percent market share, meanwhile. However, compared to the first quarter (Q1) of 2007, Intel's microprocessor revenue market share was down by 0.7 percentage points. Where Intel lost some share compared to Q1 07, AMD managed to increase its share by 2.2 points compared to its first quarter showing in 2007. While Intel lost share compared to its first quarter of 2007, AMD lost share compared to its last quarter of 2007. If all that quarter-talk was a bit baffling, take a look at this handy table from iSuppli (note that it lists revenue for the entire global microprocessor market: X86, RISC and others):
AMD needs all the wins it can gain as it is fighting a well-entrenched rival with an extremely competitive product line. Post its acquisition of ATI, AMD CEO Hector Ruiz boldly pledged to return the company to profitability in the second half of 2008. The company will need those profits if it is to leverage its ATI acquisition and come out stronger against Intel in both the GPU and the CPU markets. AMD s recently launched, and well-received ATI 4850 and 4870 cards should add to their second quarter results. Recall that Intel also plans to enter the GPU space via its Larrabee initiative.
iSuppli also reported an increase in global PC unit shipments: 69.9 million units in the first quarter, up 12.1 percent from 62.4 million in the first quarter of 2007. Notebook shipments in the first quarter were very strong, with growth of more than 30 percent compared to the first quarter of 2007. In contrast, desktop PC shipments in the first quarter were essentially flat compared to a year earlier, iSuppli noted.
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