AMD is making strides across the board, and this includes a high-dollar data center segment, where the premium sums go towards the top silicon money can possibly purchase.
Intel has, throughout history, dominated the data center sales, however, it cannot really afford to slow down, as AMD just saw its biggest sequential jump in data center market share throughout the last 15 years.
AMD recently revealed that it had more than doubled its data center revenue throughout the last quarter, and this has contributed to a strong three-month period which saw AMD bring in $3.4 billion in terms of revenue, which is a gain of 93% when we compare it to the same quarter just a year ago. The net income grew 94% year-over-year to about $555 million throughout the first quarter of 2021.
The CEO of AMD, Lisa Su, had the following to say:
We had outstanding year-over-year revenue growth across all of our businesses and data center revenue more than doubled. Our increased full-year guidance highlights the strong growth we expect across our business based on increasing adoption of our high-performance computing products and expanding customer relationships.
This claim goes hand it hand with the latest x86 CPU market share report conducted by Mercury Research, which, according to CRN, noted that AMD’s server chip share grew 1.8 points to 8.9%. When we analyze the full year, AMD’s share of the data center market grew 3.8 points. The Market Research president Dean McCarron said that AMD’s Q1 gain in data center CPU market share is the fastest they’ve had since Q2 of 2006.
AMD managed to sell more server CPUs in the second quarter of 2006 than it did throughout the first quarter of 2021. With the Zen architecture, AMD is selling processors at a higher price and selling fewer lower-end chips.
McCarron had the following to say:
This explains how AMD reported in its earnings that it had record server and client revenues, even though units were down in client and server units are from from the compmany's record shipments 15 years ago.
When we take into perspective the second quarter of 2006, AMD set a personal record when it comes to server CPU shipments, and it went from 5-7% to 22% in 18 months, which was driven by the 64-bit Opteron Silicon. Throughout the following decade, AMD’s share of the server market declined, and intel’s grew, until this point in time.
AMD EPYC processors to power new system for National Supercomputing Centre Singapore. https://t.co/jAv0SVG1kQ
— AMD News (@AMDNews) May 11, 2021
Looking ahead, AMD will probably end up chipping away at intel’s dominating share of the data center market. Throughout the last two months, AMD ported its Zen 3 architecture over to the big iron processors with the EPYC 7003 Series (Milan), up to the 64-core/128-thread configurations. AMD boasts a significant per-socket density advantage of the competitive Xeon Solutions, which is something that needs to be noted.