Intel Retains Lead In Global PC Market, AMD's Data Centre Gains Narrow The Gap
AMD sees 115 per cent increase in data centre sales, strategically focuses on AI accelerators, Intel's lead in client hardware retains
Intel maintains its lead in the global PC market, accounting for more than 70 per cent of the market across desktop, mobile and data centre systems. However, AMD is making steady advances, particularly in the data centre area, where it has increased its market share by 5.6 per cent over the last year, according to Mercury Research's most recent research.
Mercury Research's recent report highlights a shifting picture in the global PC industry. While Intel remains dominant, particularly in the consumer segment, AMD has made substantial gains in the data centre industry. AMD's recent success may be traced back to its high-margin AI accelerators, which have resulted in a 115 per cent increase in data centre sales over the last year.
Despite Intel's sustained dominance, particularly in terms of volume, AMD's ability to produce significant income with a reduced market share is impressive. For example, both businesses made around USD 3 billion in data centre sales in Q2 2024, but Intel needed three times more market share to generate the same income. This move demonstrates the growing importance of AMD's advanced AI products, such as the MI300 accelerators, which have become the company's fastest revenue-generating products in history.
On the client side, AMD's market share has increased more gradually. Overall, AMD's market share climbed by 3.8 per cent year on year, to 21.1 per cent in Q2 2024, compared to Intel's 78.9 per cent. However, AMD's desktop market share fell by 1 per cent, leaving Intel with a dominant 77 per cent. In comparison, AMD increased its mobile market share by 3.6 per cent year on year, to 20.3 per cent.
Mercury Research, which is recognised for its in-depth CPU sales tracking, notes that AMD's recent success in the data centre industry is changing the competitive dynamics between the two tech behemoths. With Intel still dominating the overall market share, particularly in client hardware, AMD's strategy of focussing on high-margin AI accelerators looks to be working. The imminent release of AMD's Ryzen AI 300 CPUs, which are geared for the Copilot+ PC market, is likely to strengthen AMD's position, potentially speeding its gains in the client market.
AMD's competitive pressure grows as Intel navigates financial issues, particularly in the profit data centre area. With both businesses aiming for dominance in a changing market, the coming quarters will be critical in defining the long-term balance of power in the worldwide PC sector.
