PC Processor Market Declines in Q1

Year-over-year comparisons show gains.

Worldwide PC microprocessor shipments declined by 9.2% compared with the previous quarter, according to data provided by advisory firm IDC. That said, in year-over-year comparisons, overall unit shipments and market revenues grew by 25.7% and 15.9%, respectively.

In general, shipments tend to decline from the fourth quarter to the first quarter due to seasonal demand, according to IDC's Shane Rau. "However, the sequential decline in unit shipments from 4Q07 to 1Q08 was more than the 6% to 7% decline we typically see."

Shipments of processors for PCs registered the biggest decline in the first quarter, dropping by 11.9%. Processors for mobile PCs and servers declined by 5.9% and 6%, respectively, compared with the previous quarter. All the segments enjoyed year-over-year growth, however.

Looking at vendor shares in the first quarter, Intel earned a 78.9% market share in overall units, while AMD earned a 20.9% market share, according to IDC.

The advisory firm is anticipating another decline in the second quarter compared with the first. Shipments in the second quarter typically are the lowest in the entire year, Rau notes.

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