AMD

Company achieves record sales of mobile chips

AMD's successful rise continues, as evidenced by a recent report by Mercury Research, one of the industry's top analysts. According to his calculations, AMD now holds 18.3% of the x86 chip market and 19.7% of the desktop processor market. This is the largest share of the “red” company since the fourth quarter of 2013 and the first quarter of 2012, respectively. In addition, AMD managed to set a personal all-time record for notebook market share.
The news comes amid AMD's excellent second-quarter earnings report in 2020, as well as Intel's recent announcement of a 7 nm process delay. Together, all of this raised AMD's stock, with a record market value.
AMD's market share continued to grow for the 10th consecutive quarter. Remember that in the third quarter of 2016, AMD's share of the PC market (excluding the Internet of Things) was only 9.1%.
Most of AMD's growth came from the notebook segment. AMD currently has a 19.9% ​​share of the laptop processor market. This is the highest percentage for the company in its history, and AMD has been expanding in such a profitable segment for the 12th consecutive quarter. Laptops represent about two-thirds of the consumer processor market and have traditionally been AMD's weakness.
Clearly, AMD's concentrated efforts paid off, with growth in the second quarter of 2.9 points over the previous quarter and 5.8 points over the previous year. The Ryzen 4000 is a well-deserved success, and growth will not stop: more than 30 laptop models are expected to enter the market by the end of the year. The laptop market grew a lot after the pandemic, when a new work at home paradigm reigned, so Intel also increased its sales in absolute terms by 9%. However, while the market has expanded for both companies, AMD's sales are growing much faster.
AMD's biggest challenges so far are in the server area. But in this market, according to estimates by Mercury Research, there is remarkable progress. According to an analysis by Mercury Research, AMD now owns 5.8% of the total server share. This is 0.7 points more than in the previous quarter and 2.4 percentage points better than in the previous year. Sales of EPYC data center chips set a quarterly record and doubled from last year.
Intel still holds 94.2% of the server market, and Xeon's recent price cuts clearly show that the company is willing to sacrifice profits to keep a competitor out of the industry. In fact, Intel's margins fell from the usual 60% to 53.3% in the last quarter (the lowest since 2009). That said, AMD will have EPYC Milan chips this year, while Intel will have 10nm Ice Lake Xeon processors, so competition is expected to intensify.
Finally, AMD now holds 18.3% of the x86 chip market, the highest since the fourth quarter of 2013. The company has also achieved the largest market share in consumer processor (desktop) since the first quarter of 2012.

AVnews