(ATLANTA) Advanced Micro Devices Inc's (AMD) newest microprocessor chip for server computers runs twice as many of the servers sold in the third quarter as a competing Intel Corp semiconductor, researcher IDC said.
Computer makers shipped 10,746 servers with Opteron, the chip from Sunnyvale, California-based AMD, Intel's biggest rival in processors, IDC analyst Mark Melenovsky said. Intel's Itanium powered 4,957 servers, which run networks and websites.
Opteron has won clients such as Sun Microsystems Inc and IBM, giving Intel's processors for servers their biggest competition ever just as businesses start to increase spending, analysts said. Revenue at AMD is forecast to grow more than twice as fast as Intel's this year and next, helped by Opteron sales, according to analysts.
'AMD is the elephant in the living room for Intel right now, and they have to deal with it,' Dan Scovel, an analyst at Needham & Co. 'They've had no real competition on the low-end server, and now they do.'
Opteron, introduced in April, and Itanium both can process data in 64-bit chunks, rather than the standard 32-bit pieces. Opteron also competes with Intel's 32-bit Xeon and Pentium. Xeon and Pentium together dominate the market, accounting for 87 per cent of the servers sold in the quarter, or 1.16 million shipments, IDC said.
AMD is expected to return to profitability this quarter after nine straight periods of losses. Sales are forecast to increase 26 per cent in 2003 and 29 per cent next year, while Intel sales gain 12 per cent this year and 14 per cent in 2004, according to Thomson Financial. - Bloomberg
business-times.asia1.com.sg/story/0,4567,101593,00.html
Computer makers shipped 10,746 servers with Opteron, the chip from Sunnyvale, California-based AMD, Intel's biggest rival in processors, IDC analyst Mark Melenovsky said. Intel's Itanium powered 4,957 servers, which run networks and websites.
Opteron has won clients such as Sun Microsystems Inc and IBM, giving Intel's processors for servers their biggest competition ever just as businesses start to increase spending, analysts said. Revenue at AMD is forecast to grow more than twice as fast as Intel's this year and next, helped by Opteron sales, according to analysts.
'AMD is the elephant in the living room for Intel right now, and they have to deal with it,' Dan Scovel, an analyst at Needham & Co. 'They've had no real competition on the low-end server, and now they do.'
Opteron, introduced in April, and Itanium both can process data in 64-bit chunks, rather than the standard 32-bit pieces. Opteron also competes with Intel's 32-bit Xeon and Pentium. Xeon and Pentium together dominate the market, accounting for 87 per cent of the servers sold in the quarter, or 1.16 million shipments, IDC said.
AMD is expected to return to profitability this quarter after nine straight periods of losses. Sales are forecast to increase 26 per cent in 2003 and 29 per cent next year, while Intel sales gain 12 per cent this year and 14 per cent in 2004, according to Thomson Financial. - Bloomberg
business-times.asia1.com.sg/story/0,4567,101593,00.html
