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  • AMD gains share in microprocessors

    Intel’s revenue share drops two percentage points, but it still leads

    By Jim Carbone -- Purchasing, 9/11/2007 4:02:00 PM

    Advanced Micro Devices increased its microprocessor market share by 2.5 percentage points in the second quarter of 2007 over the first quarter, according to researcher iSuppli. The company now has 13.4% share of the overall microprocessor revenue.

    The overall microprocessor market consists of RISC and general-purpose devices, as well as the X86-type chips for PCs sold by AMD and rival Intel Corp.

    Meanwhile, Intel in the second quarter suffered a two percentage-point decrease in revenue share, giving it a still-commanding 78.8% portion of the market.

    This was a far greater than the preliminary 0.5 percentage-point increase for Intel and the 0.5% increase for AMD iSuppli estimated in July.

    “AMD’s performance in the second quarter of 2007 was both impressive and much needed, as the company managed to halt the three-quarter market share advance of archrival Intel,” says Matthew Wilkins, principal analyst for compute platforms research at iSuppli.

    AMD’s second-quarter advance brought to an end a period of decline for the company that saw its market share dwindle by nearly six points from 16.8% in the third quarter of 2006 to 10.9% in the first quarter of 2007.

    AMD’s rise in the second quarter was due to increased shipments for notebook, desktop, and server microprocessors, despite a decline in overall microprocessor average selling prices (ASPs).

    Intel, based in Santa Clara, Calif., also suffered a decline in its microprocessor ASPs, which spurred the decrease in its revenue share during the quarter.

    AMD is headquartered in Sunnyvale, Calif.

    Also see: AMD stabilizes its processor market share

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