- Intel Admits They Lost Market Share To AMD, And Vows To Get More Aggressive
- Intel: We Finally Admits We Lost Market Share To AMD, But This Time We're Working Aggressively
Sincerity, AMD have surprised everyone with their outstanding performance recently, beating up NVIDIA for the first time in 5 years. They deserve all the praise anyway. However, Intel admitting they lost some market share to AMD have finally occurred.
Jason Grebe, Corporate Vice President, General manager Cloud Platforms and Technology Group, speaking to an analyst at the Citi Global Tech Conference confirmed that Intel had lost some market share to AMD and highlighted further challenges that the company will have to tackle to maintain its majority share of the market.
Intel: We Finally Admits We Lost Market Share To AMD, And Vows To Get More Aggressive
You know what they say, the first step to solving a problem is to admit there is one and looks like Intel finally mustered up the courage to admit that it had lost market share to AMD. AMD made quite the comeback with its Zen architecture, overturning Intel’s monopoly over the x86 market and setting off a price war at a scale we hadn’t seen in the CPU market since the good old 2000s. It is clear in hindsight that Intel did not expect a comeback quite as strong as the one that actually happened but the good news for Intel fans is that the company is admitting the misstep and has promised to rectify it (and thus, the consumers win).
We won't take much of your time quickly see what Jason Grebe Said when asked about Intel’s market share:
- In general, if there is a CPU sale happening on the planet, we want to be involved in it. So we don’t look at any segment of the market and say, okay, we are going to walk away from that segment or that we’re not be interested there. We want to aggressively compete in all segments. As we have gone through the supply issue kind of in the last six to 12 months on the PC side, we had to walk away from some low-end mobile share as well as some channel desktop share. But as we continue to improve our supply situation, we’ll continue to get more aggressive there. (Jason Grebe, Intel).
Although Jason didn’t explicitly admit that the loss in market share was due to AMD lily steps, he did admit that the company lost market share on the mobile side and desktop. The reason for this is simple of course. AMD’s Zen offerings are providing competitive performance at a much lower cost and the same is true for the mobility side as well.
That's not all, an analyst also inquired about what the company is doing to compete against NVIDIA in the AI and inferencing market and Intel had the following to say about that as well:
- Why are people using – why are customers using NVIDIA [in regards to AI applications]? And then what is Intel doing to – are you trying to gain back that market share, offer different solution, the same solution but better? Take us inside the strategy there. (Unknown Analyst).
Intel Reciprocated;
- Yes. Sure. So our strategy on AI is pretty straightforward. We are going to start with our Xeon processor, which is our core product line. We’re going to build custom ASICs for training and inference to go compete directly against our competition. We’re eventually getting into the GPU business 1.5 years, two years from now. And we’re going to have a full portfolio products that could service whatever AI is required. And again, from a workload perspective, we’re extremely bullish on AI. We think over 70% of workloads over the next couple of years will have some type of AI. And our strategy at Intel is to have AI in all of our silicon products from the data center all the way out to the edge including our Movidius product lines at the edge all the way back into the data center. So we’re extremely bullish about our ability to compete here and gain back share. (Jason Grebe, Intel).
AI and inferencing markets are going to be one of the biggest growth drivers in the coming years and it is clear that the silicon triumvirate (Intel-AMD-NVIDIA) is adopting its strategies to focus heavily on AI.
