PC microprocessor market rebounds, but still weak

Peter Dinham
Monday, 10 August 2009 11:06

Business IT - Technology

IDC reports that Intel's shipments of Atom processors designed for mini-notebook PCs (which Intel calls "Netbooks") increased 34% in 2Q09 compared to 1Q09, with the results indicating that mini-notebook OEMs, having held off buying Atom processors in 1Q09 and depleted their inventories, began refreshing those inventories in 2Q09.

IDC estimates that the inexpensive Atom processors for mini-notebook PCs represented 25% of Intel's mobile PC processor shipments in 2Q09 and 8.1% of Intel's mobile PC processor revenues in 2Q09.

According to Rau, the percentage of Intel's revenue earned in Asia/Pacific grew from 51% in 1Q09 to 55% in 2Q09."

“This fact, combined with the significant sequential 'snap-back' rise in Intel's overall processor shipments—particularly Atom shipments—while AMD's overall shipments were about flat, indicate that the PC processor market didn't recover in 2Q09.

“Instead, the market balanced out due to Intel driving Atom processors into ODMs who manufacture the systems, particularly in China and Taiwan."

IDC cites vendor highlights for the second quarter this year as Intel earning 78.9% unit market share, which it said was a gain of 1.6%, while AMD earning 20.6%, a loss of 1.6%, and VIA Technologies earning 0.5% were also reported.

According to IDC, in 2Q09 by form factor, Intel earned 86.9% share in the mobile PC processor segment, a gain of 2.6%, AMD finished with 12.6%, a loss of 2.4%, and VIA earned 0.5%.

While, in the PC server/workstation processor segment, Intel finished with 89.9% market share, a gain of 0.5% and AMD earned 10.1%, a loss of 0.5%, and in the desktop PC processor segment, Intel earned 70.2% and AMD earned 29.4%.