This year, amd launched the Raptor 3000 series processor with 7Nm process, and Intel also has ice lake processor with 10nm process. Although it is mainly aimed at the mobile market, the competition between the two companies around desktop, mobile and server CPU will become increasingly fierce.

In the past few years, Intel has not had much competitive pressure, because amd has successively failed in K10 and bulldozer processors. It did not return to the high-performance processor market until 2017, relying on Zen architecture processors. From Zen and Zen + to zen2, three generations of processors have been developed.

Since amd began to face Intel, there is a question that many people are very concerned about, that is, will there be a price war between AMD and Intel? For this problem, marketralist website published an article with the same name today to analyze the price war between the two.

The original text is a little long. Let’s talk about the results directly. They concluded that Intel could not compete with AMD. Until August, there was no change in the recommended price of Intel processors. Only some dealers had significant discounts or special rewards for individual processors.

According to the original text, the reason why there is no price war between the two countries is that AMD has a cost advantage. AMD’s Chiplets small chip strategy improves the production capacity, and the cost is more advantageous than Intel. Compared with the same period of the whole year, amd expects the cost to continue to decline, and the gross profit margin will expand from 39% to 42%.

At the same time, Intel’s gross profit margin will only decrease with the rise of manufacturing costs. Intel CEO Si Ruibo previously predicted that the company’s gross profit margin will decrease from 63.3% in 2018 to 57% in 2021. Therefore, if there is a price war, it will only lead to further deterioration of the gross profit margin.

If Intel and AMD fight a price war, it will only lead to further deterioration of gross profit margin

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