AMD's Market Share Growth Strategy in CPU/GPU Markets Analysis

This report analyzes AMD's strategies for gaining market share from major competitors Intel in the CPU market and Nvidia in the GPU market, while maintaining stable revenue growth. It compares AMD and Intel based on value, laptop valuation, and gaming performance, highlighting AMD's cost-effectiveness and integrated graphics solutions. In the GPU market, the report contrasts AMD and Nvidia in terms of price, performance, drivers, features, software, and exclusivity tactics. The analysis emphasizes AMD's affordability and Nvidia's high-end performance, as well as their respective approaches to gaming optimization and partnerships. The report concludes by suggesting that AMD's mid-range and lower-end CPUs offer better value, while both companies actively compete to improve their offerings and capture market share. Desklib provides access to similar reports and solved assignments for students.

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How AMD Can Grab Market Share from Major Competitors While Maintaining Stable
Growth
Competition between AMD and Intel in the CPU Market
1. Comparison based on Value: The chips provided by the AMD are cheaper compared to
the Intel chips. The lower end, dual core AMD processors starts at $30. In comparison to this, a
lower end Intel chip costs about $40. Thus, the offerings of Intel are always slightly higher
priced compared to AMD (Jarus et al., 2013).
2. Valuation in Laptops: The desktop processors of AMD did not include the integrated
graphics and so the Accelerated Processing Unit (APU) designed for the mobile cramps the CPU
cores and the GPU cores in one single chip drawing little paper. Thus, it remains associated with
the lower end laptops promising the longer battery life. The recently manufactured Ryzen
branded all in one chip of the AMD consumers only 15 watts. On the other hand, the portfolio of
Intel first prefers the CPU processing power first and then considers the graphics. Technically, it
could be termed as the all in one chip but CPU core remains at heart of Intel Package. Although,
Intel’s four core processor draws in more power compared to the AMD, but it provides higher
boost and base speed (Rajovic et al., 2013).
3. In Respect to Gaming: Gaming represented one area that could be tricky for the CPU.
The processors of Intel included integrated graphics although the performance hasn’t been at par
with the discrete graphic chips or the card graphics. AMD on the other hand does not include
integrated graphics but is a combination of the core processors and the Radeon branded graphics
into a single package known as the APU. They however provide better performance compared to

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the die graphic solution. For the people who consider games a serious option, can also opt for the
latest AMD Ryzen chips instead of Intel since they act well in running applications and
supporting the multiple cores and the multi threaded scenarios. The improvements in the Zen
architecture reduce the gap of the AMD chips with Intel.
It can thus be said that the AMD’s CPUs in the mid range and the lower end of spectrum
seems to offer a slightly better value compared to the Intel chips.
Competition between AMD and Nvidia in the GPU Market
1. Based on Price: AMD is known for the affordability while Nvidia is known for the
higher end performance and the higher prices. The Nvidia GeForce RTX 2080 Ti is available at a
price of $1,199 and AMD Radeon VII remains priced at $699 (Bach et al., 2014).
2. Based on Performance: AMD has been known for the clearer value campaigns while
the Nvidia is known for the powerful hardware. For instance, the performance of the Nvidia
GeForce RTX 2060 outmatches AMD Vega 56 at same price.
3. Based on the Drivers, Features and Software: Nvidia hardware is often preferred over
AMD due to the presence of the GeForce Experience software. The latest GPU software of
AMD will help in streaming VR games to the phones and the VR handsets. The only thing that
needs to be done includes leveraging power of the AMD graphics card for playing best VR
games without any slowdown.
4. Based on Exclusivity: AMD and Nvidea enact shady tactics by paying off the game
developers in showing the preferential treatment towards one another. AMD would go into
partnership with the Bethesda Softworks for optimizing the games for the Radeon in order to

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operate smoothly (Lim, Anderson & Shott, 2015). Nvidea could fight back by partnering with a
larger publisher.
In this case, each of the companies is doing their best for keeping up with mindshare.
They both are fighting more money, learning from one another’s mistakes and thereby
incorporating marked improvements.

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References:
Bach, M., Pinke, C., Philipsen, O. and Lindenstruth, V., 2014. Twisted-mass lattice QCD using
OpenCL. PoS, p.032.
Jarus, M., Varrette, S., Oleksiak, A., & Bouvry, P. (2013, April). Performance evaluation and
energy efficiency of high-density HPC platforms based on Intel, AMD and ARM
processors. In European Conference on Energy Efficiency in Large Scale Distributed
Systems (pp. 182-200). Springer, Berlin, Heidelberg.
Lim, D. J., Anderson, T. R., & Shott, T. (2015). Technological forecasting of supercomputer
development: The March to Exascale computing. Omega, 51, 128-135.
Rajovic, N., Carpenter, P. M., Gelado, I., Puzovic, N., Ramirez, A., & Valero, M. (2013,
November). Supercomputing with commodity CPUs: Are mobile SoCs ready for HPC?.
In Proceedings of the International Conference on High Performance Computing,
Networking, Storage and Analysis(p. 40). ACM.