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7/11 - Retail figures are in for June, for computer processors sold in the United States. And while these figures may not be very important, because the U.S. only accounts for 10% of processor sales worldwide, nevertheless these figures seem to underscore certain points.
Just like there was once an untapped market for computers that cost less than $500, so there appears to be a market for laptops that cost less than $600. Intel recaptured a majority market share of microprocessors sold in the U.S., thanks mainly to sales of sub-$600 notebooks. In particular, Toshiba markets inexpensive notebooks, based on Celeron M chips. "Where Intel really came back strong is notebooks".
Intel continues to concentrate on notebooks. The desktop market is shrinking, and slack is being taken up by mobile form factors.
AMD still sells more desktop processors than Intel. "AMD still holds the lion's share of the desktop market".
Even so, Intel rules the high end of desktop sales, where margins are presumably higher. "Above $750, Intel really controls things".
Back when Intel announced disappointing financial results for its latest quarter, CEO and President Paul Otellini made the statement that in spite of the disappointment, there was strong market acceptance of Intel's notebook processors, "as well as the Viiv™ platform for the digital home".
He was not lying. Viiv has gone from "a nonexistent product category at the start of the year to 10 percent of the U.S. retail desktop market".
Intel has set for itself a modest and attainable goal: to sell more Viiv units this year than when it sold Centrino units its first year. Intel recently reorganized the company around its platforms, such as Viiv. Centrino was the first one of Intel's product platforms. If Viiv can outsell Centrino, in their respective first years, then this is progress of sorts.
In spite of Intel notebook processors outselling the competition, the market share of AMD's notebook CPUs is much more than you might think, around 35%, in fact! Not bad for a processor that at least in part serves a 64-bit mobile computing niche market.
In spite of this most recent uptick in notebook processor sales, Intel has nevertheless lost enormous market share over the past year or so. Things are supposed to get better, though.
Sources: Michael Kanellos, Intel Earnings Release