Monday, November 3, 2008

Repost: Worldwide PC Processor Market Hits Record Shipments In 3Q08

Original post: DigiTimes

Worldwide PC processor shipments in the third calendar quarter of 2008 reached record levels again, according to new data from IDC. However, the outlook for the processor market in the fourth quarter this year and 2009 is very murky.

Worldwide PC processor unit shipments grew 14% on quarter and 15.8% on year while market revenues grew 7.6% on quarter and 4.1% on year to US$8.3 billion. Intel's new Atom processor for netbooks made a notable difference in overall market performance; without Atom, unit shipments grew 8.3% sequentially and and 8.7% on year.

"Not considering the effects of Atom, the overall market still grew at a decent pace in the third quarter this year," said Shane Rau, director of Semiconductors: Personal Computing research at IDC. "Intel and AMD's shipments grew at a rate only slightly slower than typical for a third quarter and seasonal demand appeared reasonable up until September. By segment, while the mobile processor segment grew aggressively, the server segment was soft."

In terms of processor vendor shares, on an overall unit basis, Intel earned 80.8% market share, a gain of 1.1%, AMD finished with 18.5%, a loss of 1.2%, and VIA Technologies earned 0.6%.

By form factor, in the mobile PC processor segment, Intel earned 87.4% share, a gain of 0.8%, AMD finished with 11.5%, a loss of 1.1%, and VIA earned 1.2%, a gain of 0.3%.

In the PC server/workstation processor segment, Intel finished with 85.6% market share, a loss of 0.6% and AMD earned 14.4%, a gain of 0.6%. In the desktop PC processor segment, Intel and AMD earned 73.5% and 26.4% shares respectively – changes were negligible.

Due to the market's strong performance through the first three quarters of 2008 and anticipated high volume of Atom processors, IDC has raised its PC processor market unit forecast for 2008 to 18%. However, the worldwide demand environment looks weak, and both Intel and AMD have indicated an uncertain outlook for the market. As a result, IDC is conservative about 2009 and will be lowering its upcoming unit forecast for the year.

IDC: Worldwide PC processor market share by vendor, 3Q07-3Q08, 2006-2007

Vendor

3Q07

4Q07

1Q08

2Q08

3Q08

2006

2007

Intel

76.3%

76.7%

78.9%

79.7%

80.8%

75.1%

77.5%

AMD

23.5%

23.1%

20.9%

19.7%

18.5%

23.1%

22.3%

VIA Technologies

0.3%

0.2%

0.2%

0.5%

0.6%

1.4%

0.3%

IBM

0.0%

0.0%

0.0%

0.0%

0.0%

0.2%

0.0%

Freescale

0.0%

0.0%

0.0%

0.0%

0.0%

0.2%

0.0%

Transmeta

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

Total

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

Source: IDC, compiled by Digitimes, November 2008.

IDC: Worldwide desktop PC processor market share by vendor, 3Q07-3Q08, 2006-2007

Vendor

3Q07

4Q07

1Q08

2Q08

3Q08

2006

2007

Intel

72.3%

72.1%

73.1%

73.3%

73.5%

70.9%

73.5%

AMD

27.5%

27.7%

26.7%

26.4%

26.4%

26.7%

26.2%

VIA Technologies

0.3%

0.2%

0.2%

0.3%

0.1%

2.1%

0.3%

IBM

0.0%

0.0%

0.0%

0.0%

0.0%

0.3%

0.0%

Freescale

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

Total

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

Source: IDC, compiled by Digitimes, November 2008.

IDC: Worldwide mobile PC processor market share by vendor, 3Q07-3Q08, 2006-2007

Vendor

3Q07

4Q07

1Q08

2Q08

3Q08

2006

2007

Intel

80.8%

81.9%

85.2%

86.5%

87.4%

83.2%

82.3%

AMD

18.9%

17.8%

14.5%

12.6%

11.5%

15.8%

17.4%

VIA Technologies

0.3%

0.3%

0.2%

0.9%

1.2%

0.3%

0.2%

Transmeta

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

Freescale

0.0%

0.0%

0.0%

0.0%

0.0%

0.6%

0.0%

Total

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

Source: IDC, compiled by Digitimes, November 2008.

IDC: Worldwide PC server processor market share by vendor, 3Q07-3Q08, 2006-2007

Vendor

3Q07

4Q07

1Q08

2Q08

3Q08

2006

2007

Intel

86.1%

85.4%

87.0%

86.2%

85.6%

75.6%

85.7%

AMD

13.9%

14.6%

13.0%

13.8%

14.4%

24.2%

14.3%

IBM

0.0%

0.0%

0.0%

0.0%

0.0%

0.2%

0.0%

Total

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

100.0%

Source: IDC, compiled by Digitimes, November 2008.
Note: Data represent vendor unit share for processors designed for use in desktop, mobile, or server PCs and shipped for revenues by the vendor.
Shipments by vendors of RISC and EPIC processors for workstations and high-end servers are not included.
Shipments by vendors of processors which are used in non-PC applications (such as VIA's Eden embedded platform) are not included.