Posts: 2,110 +3,646
I think AMD is moving away from / de-prioritizing the GPU low / mid end in particular. Sure, they had 25%+ market share (by unit sales) but what good does that do if they make little profit doing so ? Looking at the demand and ASP for their CPU, giving up wafers for cheap GPU would be crazy. So yes, they had a 25-30% market share by unit but I‘d say their revenue share was far lower, never mind the profit share which was probably in the (very) low single digits.AMD will get serious competition from Intel in the low to mid-end GPU segment (which is AMDs primary segment).
AMD is only around 15% dedicated GPU marketshare as it is. I would not be suprised if AMD is below 10% in a few years unless they change their pricings. Barely anyone will choose AMD over Nvidia unless value is much better.
AMDs best selling GPUs in the last 5 years have all been low to mid-end stuff like RX580/570/480/470.
Very few people are buying AMDs "high-end" GPUs. This can easily be confirmed by looking at Steam HW Survey.
In fact, I‘d bet AMD‘s GPU revenue share is not lower now than it was when they had a ten percent higher market share. Selling with low margins is not a sustainable business strategy when your competition has higher volumes, asp and margins.
To get away from that situation AMD needs to push for higher prices even if it costs them market share in the short term. Getting away from the ‚cheap also ran‘ image for sure isn‘t easy, so they need to continue on the path they started with RDNA and deliver on performance, features and quality.
The down side to this is that it means zero pricing pressure on nVidia but customers only have to thank themselves for this. And make no mistake - it‘s the market leader with 80+% market share who determines prices and availability.