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Intel increased market share despite Sandy Bridge recall

AMD could not capitalise on the stumble
Thu Jun 30 2011, 13:21

CHIPMAKER Intel came out of its Sandy Bridge chipset recall smelling like a rose, managing to increase its share of the chip market in the first quarter of 2011.

Following the launch of Intel's Sandy Bridge architecture at CES in January, the firm was left to announce the embarrassing recall of eight million or so Cougar Point chipsets after a bug was found in its SATA controller. At the time The INQUIRER said that Intel handled the recall well by taking a proactive approach, something that Isuppli's figures confirm.

Analysts at Isuppli claim that not only did Intel weather the Cougar Point chipset recall but it managed to increase its market share to 82.6 per cent, an increase of 1.6 per cent over the fourth quarter in 2010. AMD's market share on the other hand has been squeezed even further, accounting for just 10.1 per cent of the first quarter 2011 market.

Matthew Wilkins, principal analyst of compute platforms at IHS said, "The fact that [Intel] achieved a 25 per cent increase in revenue in the first quarter of 2011 compared to the same period in 2010 shows that its chipset concern did not really affect the company to a significant degree. This serves as a testament to Intel's capability to react to a potential crisis with speed and agility. Intel's handling of the issue on both the public relations and business fronts stands in stark contrast to other recent examples of big companies facing major product quality challenges."

Intel's Cougar Point chipset recall could have gone so much worse for the firm, since it affected the firm's headline product for 2011. While the company should be lauded for owning up to and dealing with the matter, the fact that it managed to increase its market share by almost two percentage points is a surprise. AMD will be hoping that its Llano APUs will help it claw back some of the lost ground, which Isuppli pegged at 1.7 per cent since the first quarter of 2010.

Although Isuppli's figures paint a rosy picture for Intel at present, the analyst firm notes that tablets are going to "cut down" netbook shipments, a market where Intel is extremely strong with its Atom chip. It cites Apple's Ipad as a device that will push the popularity of system-on-chip designs, a market where Intel is all but absent. µ

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Comments
sandybridge customers pay

I am prone to think that the sandybridge was tested out on customers and that we pay the price - atleast in countries like India. It is 3 wks now that Intel India has the motherboard but keep telling me that they cannot send me a replacement as it is not in stock. Nor can they give me an equivalent - nor a refund. They have loads of such complaints and their service centre had the audacity to say that one can go to consumer court. In many cases given their poor service people simply donot ask for a replacement

posted by : Giti Thadani, 22 July 2011 Complain about this comment
Intel is absent intentionally

Intel knows not to mess with someone who steadily sells their hardware. Why ruin a bad thing?

Also, the sandybridge situation was handled well. They found about the issue and took proactive steps to fix it.

Things are going to happen, and if a company acknowledges the issue and tries to fix it, people see that.

I know plenty of people still wary of nVidia laptop gpu's due to bumpgate and how they wanted to keep covering it up.

Longterm is the best term!

posted by : viscountalpha, 01 July 2011 Complain about this comment
Can't fill a gap without a product

While Intel was stumbling with the release of the second series of iX processors, AMD -could- have taken some of their market share. Problem is they had, and still have nothing on the market that can even compete with the original iX series processors. How exactly did they hope to gain market share when the same product that was already keeping them out of it was still available?

Zambezi (Bulldozer) -had- to come out in that window for them to make significant gains. They missed the boat, though, and now it remains to be seen if they can even see it on the horizon; much less catch up.

posted by : Jon, 01 July 2011 Complain about this comment
fuzzy video Vs HD5770=$89.95....

5770 does Dx11, All top games & on sale ,NEWovium,follow links down, for Hot Price. SB going down in price,less than $100, rebranded Pentium, yet low qual graphics, i believe unacceptable clarity.Intel Not that Kind.

Fuzion OK, 5870 hasn't taken price cut 200 USeD, yet, discrete & embeded have some intresting options. Wow, 2 5770 crossfired into desktopper llano? Mybe waste of money. gibme those cores. Intel might sucker public, looking AMD got Power. At least on die gpu operates, SB just Not so great.

drashek md

posted by : updater...., 30 June 2011 Complain about this comment
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