AMD will capture 20 of the server processor market this

AMD will capture 20% of the server processor market this year, while Intel’s share will drop to 70%

AMD’s success in the server CPU market is hard to dispute. The company stopped naming targets for expansion rates after the launch of the first generation EPYC processors, but experts DigiTimes Research Expect that by the end of the current year, AMD’s share in the server segment will reach 20.5%, and ARM architecture processors will be able to regain 8.1%.

    Image source: AMD

Image source: AMD

According to the study’s authors, price is just one of three factors compelling data center owners to switch to AMD products. For comparable performance, AMD server processors can sometimes be 30-40% cheaper than competing Intel offerings. For customers who buy processors in bulk, these savings can be significant.

Current-line AMD processors can also offer more cores per socket, which is critical for server systems. In the first half of this year, EPYC processors with 128 cores will be released, while Intel’s offering has not yet reached the 96-core milestone conquered earlier by AMD solutions.

The second factor that contributes to the success of AMD processors in the server market is TSMC support. The latter offers AMD advanced manufacturing processes and volume flexibility, which not only gives EPYC processors excellent performance, but also avoids bottlenecks and delays in time to market that Intel’s own products have often sinned in recent years.

    Image source: DigiTimes Research

Image source: DigiTimes Research

The third factor follows from the second, according to representatives of DigiTimes Research. Intel brings its own processors to the market, and in the past few years things have been wrong in the technology space. New products came out very late, and all this forced customers to turn to AMD products more often.

According to the source, among the main players in the cloud market, the most active buyers of AMD processors are Microsoft and Google, while HP Enterprise stands out among server hardware manufacturers.

According to the source, processors with ARM architecture are not showing expansion rates comparable to AMD products this year, and they will continue to decline next year. All this will not prevent processors with the ARM architecture from physically occupying about 8.1% of the server market by the end of this year. The main problem of processors with ARM architecture remains incompatibility with a significant part of the software infrastructure.

Market leaders are beginning to introduce ARM-compatible processor-based solutions into their data center portfolio. Amazon and Alibaba have launched initiatives through 2022, Microsoft and Google started working with Arm last year, and HPE is expanding its offerings with this architecture. NVIDIA is also preparing to release ARM architecture CPUs for server applications and adapting GPU accelerator drivers for the corresponding ecosystem.

About the author

Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

Add Comment

Click here to post a comment