AMD Will Hold 1 Key Advantage Over Intel for Much of 2023
While Advanced Micro Devices (NASDAQ: AMD) is facing challenges in the PC CPU market, with weak demand for PCs and tough competition from Intel (NASDAQ: INTC) hurting sales, the server CPU market is a different story. Intel has long dominated this lucrative market, but the company has faced severe execution problems over the past couple of years. Those missteps have opened the door for AMD, and AMD has certainly taken advantage.
Intel is finally set to launch its heavily delayed Sapphire Rapids server CPUs in January, but the product line is so late that it's unlikely to dramatically change the balance of power in the server CPU market. AMD should be in good shape for much of 2023.
Reviewers at Tom's Hardware called AMD's latest Genoa server CPUs a "slam dunk" in November. The chips use a 5-nanometer (nm) manufacturing process, enabling them to deliver huge gains in efficiency and performance. In fact, Tom's Hardware found that AMD's Genoa chips beat Intel badly in terms of total cost of ownership, an important metric for power-hungry chips running 24/7 in data centers.
Source Fool.com