AMD CPU revenue share drops to 10.6 percent

Research firm iSuppli released a report about CPU revenue share in Q4 2008, this gives a different perspective about the competition in this market. In the final quarter of last year AMD had only 10.6 percent of the revenue of the microprocessor market, down from 14.1 percent the year earlier. Intel managed to increase its revenue share from 78.4 percent to 81.8 percent, while other processor makers slightly increased their share of the pie from 7.5 percent to 7.6 percent.

In terms of units the marketshare of AMD is higher, but the average selling price (ASP) of AMD processors is lower than the ones from Intel. iSuppli predicts 2009 will be brighter for AMD, as the company has become a bit more competitive.

iSuppli attributes part of Intel's growth to the success of the Atom processor—an interesting observation, considering Atom CPUs aren't exactly high-revenue parts. Intel said (PDF) Atom processors and chipsets only drew in revenue of $300 million in Q4, a small fraction of the chipmaker's $8.2 billion quarterly revenue. With that said, iSuppli concedes that the bulk of Intel's growth came from "the continued strength of the company's microprocessor brands and products in the desktop, notebook and server segments."

Source: The Tech Report