Thanks to EPYC CPUs, AMD achieves an EPIC market share of 16% for servers

Analyst house Omdia recently reported that AMD had a strong 16% market share in servers in the last quarter. Part of the company’s historic market share comes from “demand from large-scale cloud service providers, and particularly from Google,” reports Business Wire.

Thanks to EPYC CPUs, AMD achieved an EPIC server market share of 16%, reports Omida

Given the tremendous need for servers, and despite the fact that the industry is suffering from the ability to fulfill orders on time, AMD generated “a total of $ 21.5 billion in sales revenue.”

Intel begins building Fab 52 and Fab 62 chip foundries in Arizona

Server sales are expected to grow 11% and access a total of $ 92 billion. The server market is growing steadily due to rising server prices as well as the use of optimal computing workloads and extensive data tasks such as AI and analytics. This has created a need for more efficient storage solutions and increased storage.

There is a serious deficiency in some critical components such as Power Management Integrated Circuits (PMICs), which could affect server deliveries, especially in the back end of the year. Server manufacturers have increased their component inventories to mitigate the shortage and limit the effects of long lead times. This short-term solution puts additional strain on the already strained supply chain of the server components and drives up prices.

“The demand for semiconductors related to power management has grown exponentially due to the proliferation of smartphones, other personal electronic devices, increasing electronic systems in cars, and Internet of Things devices. Components like PMICs are typically fabricated on an 8 inch wafer for competitive pricing. There has been no significant investment in 8-inch factory capacity in recent years as it was a low-margin business. This makes it difficult to resolve the supply shortage problem in the short term, ”said Manoj Sukumaran, Principal Analyst, Data Center Computing and Networking, Omdia. “As the supply shortage worsened this year, some companies started investing in 8-inch capacity, but considering the capacity expansion will take at least a year to be productive, it’s likely the PMIC shortage lasts until next year. “

Intel announced that with its latest processors it will try a different approach to its CPU architecture that “enables throughput efficiency and multitasking with the low-voltage operation that creates headroom to increase frequency and scale performance for more demanding workloads. The Performance core design is appropriately aimed at the performance of single-threaded applications. ” Intel’s latest CPU architectures allow for higher CPU customization to accommodate a wider range of applications.

As the battle of x86 architectures continues, ARM-based CPU vendors have made great strides in breaking into the servers of hyperscale cloud service providers. Although Graviton deployments at AWS slowed somewhat in Q2 20, Oracle’s server deployments with Ampere CPU increased. We were also able to determine good dynamics in the arm-based CPUs from Fujitsu and Huawei.

Omdia said of the latest AMD market share results in the last quarter, coupled with the need for increasing technological breakthroughs, such as consumer supercomputers:

“We have followed the evolution of technology usage models over the years and were not surprised by the renewed efforts by server providers to deliver their infrastructure as a service, albeit on their customers’ premises,” said Vlad Galabov, director, cloud and data center research, Omdia. “In the second quarter of 2021, HPE, Dell, and Lenovo all reported strong pulls for their custom offerings. Interestingly, HPE also supplied a supercomputer as a service. This is in line with a broader trend we are seeing in large companies to lower their investment in favor of higher operating costs. “

Worldwide data center server sales by provider