[EXCLUSIVE] Comparison of sales of Intel and AMD processors in Spain
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Robert Sole Follow on Twitter Send an email 2 April 2019
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Last part of our report on the sale of Intel and AMD processors in Spain during the first quarter of 2019, this time in comparison.
This is the last part of the processor sales report in Spain during the first quarter of 2019. We have seen how many AMD Ryzen processors have been sold and how many Intel Core, now we will see a general comparison between the two companies. The data are quite curious and differ in what one would expect according to the information that emerges. We know that Intel has sourcing issues, but that doesn’t stop its processors from selling well. AMD with the Zen architecture seems to have hit the mark. Let’s look at the data.
HALF PRICE
We have not averaged each of the AMD and Intel processors, it would be a very complex thing to do. But we have the average price of both manufacturers, which will let us see a little what people are willing to pay.
AMD processors have an average price of € 158.32, a price that is approximately that of the Ryzen 5 2600. This is the best-selling processor by AMD with a market share of 40%. There are processors above this price and Athlon GE APUs have also been sold, which are below this price.
If we look at the average price of all Intel processors it is € 242.32. This is because users prefer top-of-the-range processors. Note that many Core i9 9900K were sold in February. In the case of Intel, its low-end processors do not sell much, especially they have high-end output.
WHO HAS SOLD THE MOST PROCESSORS PER MONTH?
During the month of January, it was AMD who sold the most processors, with a total of 61.59% of the processors sold in Spain. The Christmas season moved the market quite a bit and users preferred AMD solutions. Intel was left with only 38.
41% of the sales of processors nationwide. Interestingly, it was the only month that AMD has outsold Intel.
In February it turned around and practically tied itself in terms of sales. We see how Intel rose to 60% market share and AMD fell to 40%. In March things were tighter, with Intel achieving 54.9% market share compared to 45.1% of sales by AMD. Some very tight data that is far from a past where Intel sold infinitely more than its competitor.
Above all, the fact that many Ryzen were sold in January is striking. This in another time would have been almost impossible. We do not know if it was due to the shortage of Intel processors, user preferences or something casual.
WHO SOLD THE MOST PROCESSORS IN THE FIRST QUARTER?
Here you have to take into account several data. The first thing is that there is a graph that shows all Intel and AMD processors, regardless of family. The second chart shows only AMD Zen and Intel Core @ 14nm architecture processors.
We see how the first graph shows us that AMD has managed to sell more processors than Intel. This first includes Bulldozer architecture processors and pre-Skylake processors. It helps us to see that by little, AMD has managed to sell more processors than Intel, an interesting fact. Also note that 2.5% of these data refer to FX processors (Bulldozer) and APU A (Bulldozer @ 28nm). The latter despite having an AM4 socket are not based on Zen, that is why they have been set aside for the previous report on Zen processors and in the second graph.
We turn to the graph that only has Zen architecture processors and Core @ 14nm processors. Under these conditions Intel has managed to sell a little more processors, but they are practically the same in sales. The difference is minimal and shows how AMD with Zen has managed to steal a lot of market share from Intel. That the blue company has problems meeting demand is another factor to take into account.
CONCLUSION
Here we come to the conclusion that the market in Spain is highly competitive by Intel and by AMD.
The two practically have the market share and although one month more processors from one manufacturer or another are sold, it does not matter, because the next month you can turn the tables. Above all, it stands out that of all the processors sold by AMD, almost half are the Ryzen 5 2600, while at Intel the thing is more distributed and none exceeds 20% market share. What do you think of all this data?
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AMD’s processors have come out on top in terms of cloud CPU performance across AWS, Microsoft Azure, and Google Cloud Platform, according to a recently published study.
The multi-core x86-64 microprocessors Milan and Rome and beat Intel Cascade Lake and Ice Lake instances in tests of performance in the three most popular cloud providers, research from database company CockroachDB found.
Using the CoreMark version 1.0 benchmark – which can be limited to run on a single vCPU or execute workloads on multiple vCPUs – the researchers showed AMD’s Milan processors outperformed those of Intel in many cases, and at worst statistically tied with Intel’s latest-gen Ice Lake processors across both the OLTP and CPU benchmarks.
«In past years, we saw Intel lead the pack in overall performance, with AMD competing on price-for-performance metrics. This year, both the overall performance leader and the price-for-performance leader were AMD-based instances,» the research says.
Among the large instance types, GCP’s t2d (Tau, using third generation AMD EPYC processors) instance was followed by its n2-standard instance running Intel Ice Lake processors. «AWS’s large M6i instance, which also uses Ice Lake processors, finished third, and other AWS instances rounded out the top ten. Two of the Azure AMD instance types had individual runs that could have broken into the top ten, but when looking at median runs they were less performant than either AWS or GCP’s offerings,» the report adds.
Elsewhere in its study, CockroachDB found all three major cloud providers have similarly price-competitive offers.
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«When it comes to price (and performance) all three clouds were in a statistical dead heat. Even instance and storage combinations that are a bit more expensive are potentially very competitive depending on the requirements of a specific workload,» the study reveals.
Meanwhile, the database company warned storage and transfer costs had become more important than the total cost to operate on a given cloud provider.
Storage and data transfer can become «hidden costs», having a larger impact on total cost than the price of the instances themselves, especially when it comes to building a highly resilient stateful application, it warns.
Keith McClellan, director of partner solutions engineering at Cockroach Labs, said: «If there is one point to take away from this year’s report, especially if I were a CIO or CTO building a globally distributed application concerned about cost when picking a cloud provider.
I would focus on the network transfer cost. Our findings really shine a light on each cloud’s total cost to operate.» ®
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AMD is sinking after Intel. Nobody needs ultra-modern Ryzen processors, revenue sank by 40%
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AMD reported for the third quarter of 2022, stating the fact of the failure of sales of Ryzen processors. Consumer segment revenue sank 40%, and it was the only one that brought the company operating losses. This is due to the fall of the entire global PC market, which also caught Intel, AMD’s main competitor. Its business is so bad that the company is preparing for mass layoffs in order to optimize costs.
Ryzen no longer save
AMD is experiencing tremendous pressure in the consumer device segment, as clearly indicated by its 3Q 2022 financial report (July 1-September 30). Processors designed for mainstream users are selling not just badly, but very badly — so much so that the revenue of this segment has dipped by 40% year-on-year. Intel, the second major player in the x86 processor market, found itself in a similar situation.
First of all, it is the Ryzen processors that are “guilty” of what is happening, since they make up a large part of the AMD consumer segment. There is also ThreadRipper, but these CPUs are designed for use in stationary workstations and are more focused on enthusiasts, so their share of sales compared to the same Ryzen is much lower.
At the same time, according to the report, the segment of processors for consumers is the only one that brought AMD operating losses in the reporting period.
The direction’s revenue fell to $1 billion, while operating losses reached $26 million.
«Magic» Ryzen no longer seems to work
Nevertheless, since 2017 (the release date of the first generation Ryzen) the company has been confidently pushing Intel in the entire x86 processor market, but still managed to end the quarter on a positive note. Its total revenue reached $5.6 billion, up 29% from the same period in 2021.
Contradictory indicators
After reporting on the percentage of revenue growth, AMD in its report very modestly covered the information on net profit. In the third quarter of 2022, it amounted to $66 million (according to the GAAP methodology). The amount, on the one hand, is rather big, even taking into account the size of AMD itself, on the other hand, a year earlier it was at the level of $923 million
AMD’s financial experts tried to explain such a rapid drop in net profit by the amortization of intangible assets associated with the acquisition of Xilinx, and increased injections of money into research and development.
The only caveat is that Xilinx became the property of AMD two years ago — in October 2020.
The same arguments were made in the section of the report devoted to the company’s operating profit. According to the results of the third quarter of 2022, it was not there – AMD ended this period with an operating loss of $64 million. A year earlier, operating profit was at the level of $948 million
What Keeps AMD Afloat
The absolute failure of the consumer division of AMD tried to compensate for other areas of the company’s business. Revenue of a segment of data processing centers made $1.6 billion that is 45% more, than the previous year. This is the merit of Epyc server processors, which showed a significant increase in sales.
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Gaming segment revenue was $1.6 billion, up 14% year-on-year. In this case, we are talking about Radeon video accelerators and components for game consoles from Sony and Microsoft.
The latter brought the company more money than Radeon.
Embedded revenue was $1.3 billion, an incredible 1549% increase compared to Q3 2021, driven primarily by the inclusion of revenue from Xilinx embedded products. Segment operating income was $635 million
Forecasts are still optimistic
The failure of AMD’s consumer segment did not affect the company’s optimistic outlook for the near future. It forecasts Q4 2022 revenue of $5.5 billion, up about 14% year-on-year. AMD is betting on the segments of server and embedded solutions — apparently, Ryzen processors have really ceased to be a driver of its growth.
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AMD expects revenue to reach $23.5 billion in all of 2022, up 43% from 2021. Again, AMD is relying on server and embedded solutions, as if forgetting the existence of Ryzen processors and Radeon graphics cards .
What’s wrong with the consumer segment
The collapse in sales of AMD consumer solutions has nothing to do with them.
Ryzen CPUs continue to push Intel Core, ranking 29th.2 percent market share in 2Q 2022 (WCCFTech statistics, data for 3Q 2022 not yet available). A year earlier, it was at the level of 22.5%.
Poor sales of Ryzen are a direct consequence of the general decline in the market for personal computers and laptops, which CNews wrote about. This phenomenon is caused by the events taking place in the global economy from February 24, 2022 to the present day.
This is primarily about geopolitical tensions, rapidly rising inflation and prices for all goods, including electronics. Along the way, many companies, including large IT corporations, have embarked on massive layoffs. In connection with all this, the purchase of a new computer, laptop, or even just a video card or processor for an upgrade has dropped out of the priority spending of most consumers.
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According to the forecasts of the analytical company IDC, in the near future, at least until 2024, the PC market will not return to growth.
In Russia, PC sales are also declining sharply.
But what is happening affects not only AMD. Its main competitor, Intel, is also going through hard times. The company has experienced a drop in sales, but if AMD has 7nm CPUs, then Intel is selling less modern 10nm ones.
In addition, AMD has long established itself as a major vendor of gaming video cards. Intel is also trying to gain a foothold in the GPU market, but so far it has not been successful.
Intel’s revenue in the third quarter of 2022 fell by 15% year-on-year to $15.3 billion. The company is determined to drastically reduce its operating expenses by $10 billion a year. One of the methods to achieve this result is the dismissal of some employees. The staff reduction has not yet been officially announced, but the current head of the company Patrick Gelsinger has already hinted that heads will roll.
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The difference between AMD and Intel processors. Comparison and differences
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Any person who decides to assemble a desktop computer always starts with the choice of processor, because this is the heart of the computer and everything depends on this choice. At the moment, there are only two companies on the market that produce processors for ordinary users, these are AMD and Intel. So what to choose? To answer this question, you need to consider all the pros and cons of processors from these companies.
AMD processors
For starters, AMD processors. Their main advantage over their competitors is the price. On average, processors from AMD cost one and a half or even two times cheaper than similar processors from Intel.
Second, but no less important, is the performance of the video card built into the processor, if any, of course. In this component, AMD gives 10 points of odds to their main competitor, and if a desktop computer does not have a discrete graphics card, then this can be a decisive factor.
In addition, AMD has a number of budget processors, even by the standards of the company itself, which are quite powerful even in modern realities. Of course, they will not have an integrated video card, but for options with an external video card, they will fit perfectly. An example of such a processor is the eight-core FX-8150 clocked at 4.0 GHz, which is very cheap for its characteristics, about $250. For comparison, approximately the same processor from Intel will cost an average of 400-500 dollars. This is where the pros end, the cons begin. The main ones are energy consumption and heat dissipation. The above processor from AMD consumes 125 watts per hour, which is twice as much as a similar processor from Intel.
In addition, this monster needs a good cooling system. The one that comes with the processor sometimes does not cope with the load, because of which the computer simply turns off by itself. Thus, choosing an AMD processor, you need to be prepared for the fact that electricity bills will increase and the computer will work louder.
Intel processors
Intel, on the other hand, has taken the path of constant development of its processors. This is the reason for the higher cost of processors. However, in terms of technology, Intel has always been ahead of its competitors. More than 80% of all processors sold now belong to this company, which means that people are willing to overpay for greater reliability and comfort. Except for the price, these processors have no flaws. They consume little energy, their heat dissipation is small, so even after a year the fan will still work very quietly. In addition, it is worth noting that Intel has a lot more variety in its choice. You can choose a very budget processor, and it will work out the money invested in it like a clock.