AMD has overtaken Intel in the "data center" space, as Team Red manages to outsell Intel, according to figures disclosed in respective earning reports.
Intel "Financial Woes" Continues To Occur, As The Firm Now Starts To Los Grounds In The Data-Center Segment
This is indeed a surprising development, given that Intel has dominated the data center segment for quite some time now, and with AMD now disclosing a higher revenue in the segment compared to Intel, it can be said that the tides are shifting in favor of Team Red. Based on data revealed by SemiAnalysis, AMD has overtaken Intel in Q3 2024 data center revenue, with the firm recording $3.549 billion, which is "slightly" higher than Team Blue's $3.3 billion.
AMD overtook Intel for the first time in data center revenue in 3Q24. But, their DC revenue scale is small that they are less than NVIDIA's networking (non compute) revenue alone. pic.twitter.com/3LEGTkDF8T
— Sravan Kundojjala (@SKundojjala) November 3, 2024
Datacenter revenue includes both server-grade CPUs and the respective AI portfolio, and while AMD already had an edge in the AI segment, it seems like Intel is slacking in the server segment as well. AMD's EPYC CPUs have reportedly seen higher adoption rates compared to Intel's Xeon counterparts, mainly since Team Red has brought in a better perf/$ ratio with its EPYC lineup, and while Intel does offer a higher raw performance, the industry seems to be inclined towards AMD's offerings.
Another interesting fact to note here is that Intel, in general, has been witnessing a downfall in its business, which has ultimately translated to lower revenues in each of the firm's business segments, notably AI. We reported that Intel hasn't managed to secure $500 million in Gaudi AI sales, which is an alarming situation for the firm, given that competitors like AMD and NVIDIA aim toward multi-billion dollar turnovers. Not only has Intel reported slacking performance in the AI segment, but data center revenue now suggests that the firm is losing ground here.
However, the revenue stats don't entirely conclude that AMD's EPYC is gaining superiority, given that Intel is currently in the process of bringing in Granite Rapids into the markets, which are said to offer phenomenal performance, surpassing AMD's current EPYC processors in both AI inferencing and HPC performance.
