AMD lost ground in the workstation market

— 9:26 AM on June 14, 2007

Jon Peddie Research has released its latest numbers for the workstation market, and things aren't looking good for AMD. According to JPR, AMD's share of the dual-socket, Windows-compatible workstation market tumbled to 8% in the first quarter of this year, down just over three points from 11.1% in the fourth quarter of 2006. Things appear even worse from a year-over-year perspective. AMD's workstation market share was 12.4% in the first quarter of 2006, so it's gone down 4.4 points in the past year. In the overall workstation market, the chipmaker's share now sits at 2%, down from a peak of 3.6% in the second quarter of 2006.

It doesn't take a market researcher with a Ph.D. to figure out why AMD's doing so poorly. The company's slice of the 2P Windows workstation market started declining in the third quarter of 2006, right as Intel introduced its first Core-based Xeon 5100-series chips. JPR analyst Alex Herrera comments, "We'd expected AMD's share to moderate or level off by the time Intel improved its dual-socket Xeon platform in mid '06, but we hadn't anticipated the decline we've seen."

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