As per a report published by SA, AMD’s average selling prices (ASP) have almost doubled over the last three years or so. Back in 2017 (before the Ryzen CPUs were launched), the ASP for an AMD product was just under $53. Fast forward to the first quarter of 2020, and the same had climbed to $102.61, an increase of approximately 93.5%.
Looking at AMD’s market share across the various segments of the CPU market, you can see how the average selling prices went along with the company’s popularity among gamers and enthusiasts alike.
Back in 2017, AMD’s mobile market share was a paltry <10% while the desktop CPU share was just over 10%. The company was pretty much non-existent in the server market with a stake of just 1-2%. By early 2020, both the desktop and notebook shares had surpassed the 20% figure, reaching a decade high of 28% among Steam users in January 2021. The server market also warmed up to AMD’s Epyc lineup, with Team Red crossing the 5% mark in the first quarter of 2020 and twice as much by the end of the same year. As per forecasts, the launch of the Zen 3 based Milan chips will push AMD’s share in the server market to as much as 20%.
Looking at the future, AMD’s quarterly revenue is expected to double by 2024, with a total increase of 2.5x by the last quarter of the year. At present, the company pulls in just over $3 billion per quarter. Although the revenue growth is expected to remain relatively stagnant between 2022 thru 2023, 2024 is predicted to be a golden year for Team Red. The launch of the next-gen consoles and the next major architectural leap in CPU and GPU architectures are expected to be the core driving factors behind these gains.
As the quarterly revenue closes on the $10 billion figure, it should also stimulate the growth in the share value, with a projected increase to over $200 per share by the end of 2024.
Keep in mind that these predictions are relatively conservative and the actual figures are likely going to be a tad bit higher.