AMD Tops Intel in September Sales

Good news just doesn't seem to stop for microprocessor maker Advanced Micro Devices these days. Shortly after the company reported a banner third quarter earnings, the company is now being lauded for outgunning mighty Intel and capturing more than half of the processor market for desktop PCs in the U.S. during the month of September.

AMD captured a 52 percent share of the U.S. retail desktop market in September, topping Intel's 46 percent share, according to market research firm Current Analysis.

"Despite its past successes in surpassing Intel desktop sales in select retail sales weeks, September 2005 marked the first time AMD was able to outperform Intel for an entire month," Current Analysis said in a report released late last week.

Other Successes

The win couldn't come at a better time for AMD. On Friday, the company hosted a grand opening ceremony for its most advanced chip-making factory ever, and probably its most expensive. It's a billion-dollar gamble that the company can keep production lines full as it gains market share on rival Intel, which it has been doing, according to Current Analysis.

AMD benefited from increased sales of Media Center PCs, according Current Analysis, which are meant to be used for home entertainment purposes. In September, Media Center PCs accounted for 46 percent of all U.S. retail desktop sales, the market researcher's report says. What's more, 55 percent of those machines went out with AMD processors inside.

The star Media Center system was Hewlett-Packard's HP Pavilion a1130n, running on a 64-bit AMD Athlon 64 processor, Microsoft Media Center operating system and 1GB of RAM at a post-rebate price of $679, the Current Analysis report says.

The market researcher says the HP model is the most popular Media Center PC in retail to date, and credits AMD for being in the right system at the right time.

"There is fantastic momentum surrounding the adoption of Media Centers and subsequently, AMD, in the forthcoming holiday season," says the Current Analysis report.