Analysts expect amd to triple its market share in processors

AMD and Intel have reignited a war in the pc processor sector, after the former had passed more than 5 years, without a truly competitive offering regarding overall performance. Everything began to change when AMD launched its Ryzen processors, which have been very well received by enthusiasts and mainstream users. Also, it appears that things are not going well for Intel today as it faces difficulties producing its chips at 14nm.

AMD Expected to Triple Its Market Share in Processors

The shortage of Intel Whiskey Lake and Coffee Lake processors is so severe that it is affecting shipments of notebooks in general, and forcing DRAM memory prices to drop as a result of an overabundance due to lower consumption rates. Intel's troubles are a boon to AMD as the chipmaker has a golden opportunity to impersonate Intel on certain CPU models it directly competes on. Analyst firm Jefferies raised its price target for AMD shares from $ 30 to $ 36 as it foresees huge market share gains for AMD as a result of Intel's supply problems.

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Analyst Mark Lipacis points to a report by research firm Fubon, which states that HP will adopt AMD processors for up to 30% of its consumer machines next year. Dell will also use more AMD chips for its line of commercial PCs according to the report. Analysts believe AMD has a chance to triple its market share to 30% of the market, from its meager 10% now.

Lipacis expects to see Intel's supply restricted until 2019, and for AMD to reach a 30% market share thanks to that restriction suffered by Intel. Many users have wondered what is going on at Intel that has caused such a massive processor shortage. Investment firm JP Morgan has released a report saying the Intel shortage is getting worse, and that the chipmaker is having capacity issues by delaying its move to 10nm manufacturing technology.

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