Intel still holds commanding lead in chip market for Q2

Advanced Micro Devices (AMD) lost market share to Intel in the second quarter as AMD's momentum eased coming off a solid first quarter, according to figures from Mercury Research Inc. released Monday.

Intel held an enormous lead over AMD in the number of x86 desktop, mobile and server processors shipped in the second quarter, with 82.5 percent of the market, said Dean McCarron, principal analyst with Mercury Research in Cave Creek, Arizona. AMD shipped 15.7 percent of the processors measured in this study, and the "other" category, made up of Transmeta Corp. and Via Technologies Inc., shipped 1.8 percent.

"The main trend is that AMD had a really good bump in the first quarter that didn't get sustained in the second quarter," McCarron said. In the first quarter, Intel shipped 81.7 percent of the processors measured by the study, and AMD shipped 16.6 percent.

AMD gained a little ground compared to last year's second quarter, when the company shipped 15.6 percent of the processor market, but that quarter was a disastrous one for the company and the industry in general, McCarron said.

An overestimation of second-quarter demand coming off a solid first quarter in 2002 resulted in too much inventory when demand collapsed in the second quarter. AMD was left with an inventory glut that it spent much of the rest of 2002 attempting to move through the channel. The company had purged those excess chips as of the first quarter of 2003, McCarron said.

Overall, mobile products were the strongest segment of the market, McCarron said. In fact, mobile processors were the only segment of the market that gained ground, while everything else was down in the quarter across all companies in the industry, he said.

The market declined 3 percent from the first quarter to the second quarter, which is a little worse than usually observed under seasonal patterns, McCarron said. But the second half of the year is expected to get better, taking into account the seasonal strength of the back-to-school shopping season and the holiday shopping season, he said.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Tom Krazit

IDG News Service
Show Comments

Father’s Day Gift Guide

Brand Post

Bitdefender 2019

Bitdefender’s best-in-class security solutions have been awarded Product of the Year. Get cybersecurity that 500 MILLION users already have and trust!

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?