Intel Continues to Lead Global CPU Market Share to 81.8%

Market research firm IHS iSuppli said in a research report recently released that the strong sales of "Sandy Bridge" processors helped Intel to further expand its share of the global processor market. At the same time, AMD's Fusion strategy has also produced positive results. According to IHS iSuppli, benefiting from the stable demand for PCs from companies and the strong sales of Sandy Bridge processors, Intel continued to expand its leading position in the global processor market in the second quarter with a market share of 81.8%. IHS iSuppli analysts said in the report that Intel’s market share increased by 1.1% in the second quarter, while AMD’s share dropped by 1.1% to 10.4%.

Both Intel and AMD executives had previously stated that the latest generation of processors is one of the fastest processors in the history of their respective companies. In July of this year, Paul Otellini, president and CEO of Intel, predicted that the company's sales of two-thirds of its processors this year will use the Sandy Bridge architecture. A few days later, AMD CFO Thomas Seifert revealed that Brazos Fusion processor sales reached 3 million in the first quarter of this year and is expected to reach 6 million in the second quarter.

Seifert had said at the time: "The success of Fusion processors shows that our strategy is correct." Matthew Wilkins, chief analyst of IHS iSuppli, said that benefit from the recovery of PC demand and Sandy Bridge processor Shipment growth was strong. Intel’s performance in the second quarter was eye-catching: “PC sales have performed better in the corporate market than in the consumer market, and the corporate market has benefited Intel in particular.”

The overall PC market has experienced a decline. Market research organizations such as IDC and Gartner have reduced their shipment expectations for 2011 and 2012. Analysts at IHS iSuppli said that the company’s IT department is pushing for PC sales growth as it seeks to fully upgrade the system. This helps Intel to further expand its leading edge with competitors. Most of Intel's processor business revenue comes from the commercial market.

IHS iSuppli said in the report that although the global PC market was in trouble for the first quarter of this year, it resumed growth in the second quarter, and shipments increased from 82.6 million units in the same period last year to 85.6 million units, an increase of 3.7% year-on-year. At the same time, PC sales growth led to a year-on-year increase in global processor sales of 10% in the second quarter, from $9.8 billion in the same period last year to $10.9 billion.

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