AMD's market share dipped over 5% in first quarter

— 11:01 AM on April 25, 2007

Market research firm Mercury Research has published market share numbers for the processor market in the first quarter of this year, and those numbers go a long way toward explaining—at least in part—AMD's awful financial performance. According to the numbers as quoted by Reuters, Intel's share of the x86 processor market jumped to 80.5% in the first quarter, leaving AMD with less than 20% for the first time since 2005. For reference, AMD's market share in the fourth quarter of last year was a cool 25.3%, while Intel's was down at 74.4%.

Those numbers give a pretty good idea of why AMD's revenue took a 30% nosedive from $1.773 billion to $1.223 billion in the first quarter. Of course, other factors like the delays plaguing AMD's DirectX 10-class graphics processors likely came into play, as well. AMD stated during a conference call with financial analysts last week that events had conspired to form what it called a "perfect storm."

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