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AMD Reaches Almost 40% Server Market Share in Q1 2025

AMD Reaches Almost 40% Server Market Share in Q1 2025

Today, buying an AMD processor is a great choice, whether for desktop PCs, workstations, or even laptops. AMD’s CPUs are competitive and often outperform its rival, especially in the server sector. In fact, AMD has recently reported that it has gained almost 40% of the server CPU market in Q1 2025, with expectations to match Intel’s market share by 2026.

We are now at a point in history where processors have far more power than we ever imagined just a few years ago, and that power continues to grow. Who would have thought, 15 years ago, that we would have 16 and 24-core desktop processors running over 5 GHz, offering dozens of times the performance of those old Intel 4-core CPUs? AMD sparked this change and forced Intel to follow after it launched its Ryzen CPUs in 2017.

AMD’s Growth in the Server Market

AMD’s success in the server market is clear. When the company introduced its Zen architecture, it started to recover from a difficult period. With Ryzen and Threadripper chips, AMD began challenging Intel’s Xeon CPUs, both in performance and price. Today, AMD holds 39.4% of the server CPU market, leaving Intel with the remaining 60%. The company plans to keep growing, with a goal of reaching 50% market share by 2026.

AMD’s market share in servers grew 6.5% year-over-year and 3.1% quarter-over-quarter in Q1 2025. While this is impressive, the laptop sector saw even greater growth at 7.3% year-over-year. Overall, combining all sectors, AMD has increased its market share by 9% in just a year, reaching 31.6%.

In terms of financial performance, AMD reported $7.44 billion in revenue, which is a 36% increase compared to 2024. A significant portion of this comes from data centers, which accounted for $3.7 billion. AMD is optimistic about continuing its growth, especially since their upcoming EPYC processors will use 2nm technology from TSMC, offering even better performance.

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