CPU Market Witnesses 33% Growth in Q1 2024: Intel and AMD in Focus

Introduction

The CPU market is a dynamic landscape, with fierce competition between industry giants Intel and AMD. In Q1 2024, both companies experienced significant developments, impacting the client and server segments. Let’s break down the key findings from the latest market research.

Client CPU Market

1. Shipments Surge by 33%

• AMD and Intel witnessed a remarkable increase in CPU shipments, soaring by as much as 33% compared to the previous year.
• Despite this growth, both companies faced challenges in the client CPU market during the quarter.

2. Stabilization Amidst Decline

• AMD and Intel saw a decline in client CPU shipments for Q1 2024 compared to the previous quarter (Q4 2023).
• However, the positive news lies in the significant gain they achieved versus the previous year, indicating market stabilization.

3. Notebook CPUs Dominate

• The notebook CPU market remained dominant, driven by new AI-powered PC options from both AMD (Ryzen AI) and Intel (Core Ultra).
• Notebooks accounted for a 73% share, while desktop CPUs made up the remaining 27%.

4. iGPU Market Growth

• The integrated GPU (iGPU) market reached 56 million units, marking a 30% year-on-year increase.
• iGPUs are expected to penetrate 98% of the PC client market, leaving only a small portion for add-in boards (AIBs).

Earnings Snapshot

• In terms of earnings:
  • Intel posted a -14.7% decline versus the last quarter but still achieved a +29% gain compared to the previous year.
  • AMD experienced a -6.3% decline in Q1 2024 but enjoyed an impressive +85% gain year-on-year.

Server-Side Shipments

• The server-side shipments faced challenges:
  • A -13% decrease from the last quarter.
  • A -17% decline compared to the previous year.
• Customers eagerly await next-gen products from both Intel and AMD, expected to launch in the coming months:
  • AMD: Next-gen EPYC Turin CPUs based on the Zen 5 architecture.
  • Intel: Xeon 6 lineup in P-Core “Granite Rapids” & E-Core “Sierra Forest” CPU flavors.

Conclusion

Market fluctuations are part of the industry’s cyclic behavior. While Q1 2024 showed declines, it likely indicates stabilization. As we move forward, expect positive results in the second half of 2024—the peak season for the PC market.

Stay tuned for more exciting developments in the CPU world! 🌟