At the Evercore ISI TMT conference, Intel announced that they would continue to lose market share, with a possible recovery in the coming years. Intel’s CEO Pat Gelsinger announced that he expects the company to continue to lose market share to AMD and that the competition has “too much momentum”. When it comes to AMD’s Ryzen and EPYC processors, they continue to deliver impressive power and efficiency figures, which is what drives customers to the company. Intel expects to have a competitive product in their data center business with Sapphire Rapids Xeon processors, which will be released in 2023. Pat Gelsinger commented, “The competition just has too much momentum and we haven’t performed well enough. So we expect that bottom line. The company will grow, but we do expect there to be some share losses. We’re keeping the overall TAM- don’t grow until we get to later in ’25 and ’26, when we start to regain market share, material gains.”
Intel is targeting 2025 and 2026 to create a bounce-back. “Now, in 2024, of course we think we are competitive. In 2025, we believe we will be back on undisputed leadership with our transistors and process technology,” said CEO Gelsinger.
Pat Gelsinger also noted that the company will leave more businesses where it is not thriving. We saw this with Optane memory and we could see Intel pulling out of other markets that don’t really align with the leadership’s vision. It will be interesting to see what comes of this, as the CEO has appointed a new leadership group and made significant structural reforms.
Via Tom’s Hardware
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