AMD has experienced a striking increase in desktop CPU market share over the last year, with nearly a 10 percent rise due to the success of its recent desktop gaming CPUs. Mercury Research, an analytics firm tracking market trends for AMD, Intel, and Qualcomm, reported AMD’s desktop CPU market share grew by 9.6 percentage points year-over-year, reaching 28.7 percent as of the third quarter of 2024. In the mobile CPU sector, AMD saw a similar uptick, securing 22.3 percent market share — a gain of 2.8 percentage points over the previous year. This shift highlights AMD’s ability to capitalize on the evolving CPU market as Intel struggles with declining shipments, largely due to inventory adjustments and a reduction in purchasing rates from its customers.
According to Mercury’s analysis, overall CPU shipments were modestly up in Q3 but did not align with typical seasonal growth patterns, reflecting the impact of Intel’s reduced desktop and mobile shipments. Mercury’s principal analyst, Dean McCarron, noted that Intel’s drop in desktop CPU shipments was especially sharp, with the company attributing this trend to customer inventory adjustments and diminished demand. This slowdown also impacted Intel’s mobile CPU shipments, which, while posting positive growth, fell short of expected seasonal gains. Meanwhile, AMD experienced near-seasonal growth in desktop CPU shipments and a substantial rise in mobile CPU sales. This resilience has been credited to the appeal of AMD’s Ryzen 7000X, 8000G, and 9000X processors, which have found a strong reception in both consumer and professional markets.
AMD’s Ryzen lineup has bolstered its market position despite initial mixed reviews of the Ryzen 9000X series. The recent release of AMD’s Ryzen 9000X3D processors has been particularly well-received, with early benchmarks for the Ryzen 7 9800X3D underscoring AMD’s gaming capabilities. Reviewers have praised this processor for delivering standout performance with its 3D V-Cache technology, further solidifying AMD’s edge in the gaming CPU arena. Analysts suggest the Ryzen 9000X3D series will fuel AMD’s momentum, allowing it to compete directly with Intel’s high-end offerings and continue to draw users who prioritize performance and innovation in their setups.
While AMD enjoys expanding market share, Intel faces both internal and external challenges. Intel’s latest earnings report reflected substantial losses and signaled upcoming layoffs as part of the company’s ongoing restructuring efforts. As part of its strategy to regain ground, Intel has emphasized its push for U.S.-based semiconductor manufacturing, hoping to capitalize on CHIPS Act funding. However, delays in this federal investment have complicated Intel’s timeline for constructing new U.S. fabs, potentially affecting its long-term strategic positioning. Within the PC and Chromebook market, Intel’s market share declined by 4.6 percentage points year-over-year, a portion of which AMD absorbed.
In the server market, AMD also made notable gains. According to Mercury’s report, which was corroborated by AMD, AMD’s server revenue share reached a record 33.9 percent, emphasizing AMD’s growing presence in high-performance computing sectors. Unlike desktop CPUs, server CPU revenue is increasingly valuable as companies prioritize energy-efficient, powerful solutions for data centers and enterprise workloads. Mercury’s analysis of AMD’s server share excluded contributions from AMD’s semicustom chips in gaming consoles and IoT devices, underscoring AMD’s progress in standard CPU categories.
AMD’s growth in market share and product reception signals a broader shift in the CPU industry. Intel’s previously unchallenged dominance is now giving way to fierce competition, with AMD’s continued innovation and strategic expansion promising further gains in both consumer and enterprise markets.