Intel gains processor market share in Q3

Intel gained market share in the global microprocessor segment for the third quarter of 2008, comparing year-over-year numbers, according to iSuppli analysis. The company grew 1.7 percent from last year and .3 percent from the previous quarter this year. In contrast, AMD has been losing market share at a similar rate of 1.8 percent from 2007. The research covered the whole range of microprocessors including x86, RISC, and other general purpose products.

iSuppli analyst Matthew Wilkins credited the performance to Intel's strength in the notebook segment. Most of the major computer manufacturers have taken part in the netbook boom with designs that have just recently come to market or will be released in time for holiday shopping. The majority of netbook devices are being manufactured with Intel's Atom processors.

The microprocessor company has developed a way to produce more of the Atom chips per silicon wafer than some of its other components, although the demand has outpaced the company's ability to ship the products due to testing bottlenecks. The Atom line offers higher margins than other Intel processors, but with a lower overall revenue per item.

Several analyst firms anticipate an explosion of the netbook segment. DisplaySearch anticipates that shipments could surpass 14 million units this year. If the volume reaches high enough, Intel could be set to take advantage of the emerging market.