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Intel takes credit for record chip market

IDC: Processor sales grew by 16% in Q2

Worldwide PC processor shipments reached record levels in the second quarter with Intel taking a lot of credit for the growth, according to IDC.

The research firm reported that global PC processor unit shipments grew 3.1 percent from the first to second quarter of 2008. And second quarter sales grew by 16.1 percent compared to the year-earlier period. IDC didn't disclose its projected sales totals.

"While sequential market growth is unusual in the second quarter of the calendar year, it's clear that in [the second quarter of 2008], Intel's [PC] processor shipments drove the growth," said Shane Rau, a research director at IDC. "Intel's processor shipments alone grew nearly 4.3 percent [quarter over quarter] and 20.8 percent [year over year], while AMD's processor shipments were about flat."

Intel is on a roll, according to the IDC figures. The chipmaker's market share grew by 0.9 percent in the second quarter, bringing it to 79.7 percent. Troubled rival AMD's share of the PC microprocessor market dropped 1.2 percent to 19.7 percent, IDC reported.
IDC projects that the overall global PC chip market will continue to grow this year to $32.8bn by the end of 2008.

"While processor unit shipments exceeded our forecast in Q2 '08, Intel's aggressive approach to the market, through both product and pricing, points to a major, supply-side variable," said Rau.
"However, economic concerns cause us to maintain our conservative outlook for the second half of the year."


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