Intel vs AMD vs Apple

[Will]

Didn't see a thread on this anywhere, but has anyone been following the latest news over the last few months with the new releases from AMD, Intel and Apple?

It looks like we've had a small revolution in the CPU market, with both AMD and Apple potentially pushing Intel off the CPOU throne. AMD has now released the top performing CPUs for the first time in 10-15 years, whilst Apple has significant potential with the M1 chips.


AMD Ryzen 5000
AMD's latest offering is essentially just faster than the top performing intel i9 processor. LTT in the video below refer to it as the first time this has happened for years, and personally I've always been on intel for the last 15+ years.

The AMD Ryzen offerings outperform the equivalent Intel processors in the same price range.


Apple M1
The other big news in the last few months in the launch of Apple's M1 chip in their latest Macbook Pro and Macbook Air. The benchmarks it's pulling are insane, both in performance and battery life, and the ultra low power ARM mobile chip they've stuck in their latest MBP range essentially outperforms Intel's offering as well.

One of the callouts from this review seems to be the 20+ hour battery life of the MBP whilst streaming YouTube. Reviewers have also noticed that generally the MBP is outperforming the highest spec Mac Pro desktops with Intel processors across lots of tasks. Apple has claimed it's the "best performance per watt" for any CPU chip.

Some rumours that Apple might license out their CPU chips to other manufacturers as well, and.... potentially take on both Intel and AMD?

The rumoured Apple M2 / M1X that will probably be in the 16inch MBP + Mac Pros that'll probably be announced later this year are also supposed to be significantly more powerful than the initial M1 chip.

 

[jcgriff2]

AMD's stock price has more than doubled++ in the last few months and more than tripled during the last 52 weeks -

52 Week Range    36.75 - 99.23

Absolutely incredible. COVID has little to no effect on the stock whatsoever.

AMD 91.47 3.57 4.06% : Advanced Micro Devices, Inc. - Yahoo Finance

I am still sticking with Intel when purchasing my OEM laptops.

 

[Digerati]

I just had a similar conversation on another site. Some of my thoughts and findings I will post here.

AMD has certainly made some great strides recently. But not sure Intel has been knocked off their throne - at least not when talking about the big picture. My point being, does having the top performing CPU mean all your CPU offerings in every category are better than all the competition's offerings? If you don't hold the majority of the market share, is it really your throne to sit on?

Much seems to depend on who's doing the talking. If you look at all the pickup truck ads here in the US, Ford 150, Chevy Silverado 1500, and RAM 1500 all claim to be #1. And in fact, they all are. One is #1 in towing. Another is #1 in fuel efficiency, and the other is #1 in horsepower.

Intel is far from being down for the count.

Microsoft, Intel share gains lead Dow's nearly 250-point climb

Microsoft's shares have climbed $7.99, or 3.4%, while those of Intel are up $1.33, or 2.4%

The increase in PC sales has helped Intel

The positive impact of 2020 on PC sales was once again seen thanks to the 2020 fourth quarter results shared by Intel. The chip maker announced that its revenues on the PC side increased by 33 percent compared to the previous year. Laptop revenues increased by 30 percent.

Intel Stock Rises on Fourth-Quarter Earnings Beat as PC Sales Continue to Impress

Intel (ticker: INTC) logged overall fourth-quarter net income of $5.9 billion, which amounts to $1.42 a share, compared with a profit of $6.9 billion, or $1.58 in the year-ago quarter. Adjusted for restructuring and acquisition costs, earnings were $1.52 a share.

The results handily beat Intel’s own sales forecasts for the fourth quarter, and topped consensus estimates, allowing outgoing CEO Bob Swan to leave the company on something of a high note.

“We significantly exceeded our expectations for the quarter, capping off our fifth consecutive record year,”

And for the record, this all helps AMD too.

Are there ups and downs? Sure. And has AMD gained market share? Yes and no. AMD no longer enjoys the advantage of selling less expensive processors as they did in the past because today, in most segments, their processors are similarly priced. AMD was climbing in the desktop share but still below 50%. Intel, however, dominates in the more rapidly growing laptop market.

While AMD was gaining marketshare the last few years, this last year shows where, Intel Claws Back Desktop PC and Notebook Market Share From AMD, First Time in Three Years.

Full disclosure: I've been buying $50 worth of Intel in a DRIP (dividend reinvestment program) every month since November 1995. I'm up to 655.73 shares now. I also have a bit of AMD. So I been paying attention to how they do. And frankly, I'm doing quite well with both. :)

 

[Will]

It's a good point, I don't think Intel are "in trouble" exactly or likely to suddenly lose market share.

The interesting thing with the latest AMD releases is that even the lower end CPUs are outperforming Intel chips at an equivalent or lower price point.

If nothing else, things are likely to be more competitive over the next few years between Intel and AMD than they have been previously.

I think Apple switching away from Intel will also hurt them - it's a sizable number of sales they'll lose once Apple fully switches, and if Apple's M1X chips do actually deliver then Apple could be a serious threat if they decide to license them.

 

[Digerati]

I think Apple switching away from Intel will also hurt them

It certainly didn't help. But I note Apple used to use Motorola processors. When Apple dumped Motorola, Motorola took a hit. But after the company split and then the remaining Motorola Solutions Inc (MSI) split a couple times, Motorola is doing well now too.

Intel is also making huge investments in IoT. So is AMD but Intel has deeper pockets.

Regardless how it works, Intel needs AMD nipping at their heels because that keeps Intel looking over their shoulder. And that keeps both competing and that means more choices for us consumers - a very good thing!

 

[Wrench97]

Can the Apple M1 really be considered with desktop chips?
Seems like a totally different set of design specs.

 

[Will]

Can the Apple M1 really be considered with desktop chips?
Seems like a totally different set of design specs.

Yeah, it's totally different, but the performance so far is on par and potentially beating out current gen desktop CPUs.

I think later this year when they announce new Mac Pros with an M2/M1X they'll potentially have something that's beating even top spec Intel desktop chips.

ARM chips have long been considered as performing less powerfully compared to Intel/AMDs lines - we might see that change soon.

 

[Will]

But after the company split and then the remaining Motorola Solutions Inc (MSI) split a couple times, Motorola is doing well now too.

Companies can definitely recover and reinvent themselves - but isn't Motorola a good example of a company losing its dominant position as a result of these kinds of things?

Not arguing that Motorola isn't doing well now and managed to reinvent themselves, but they're far from being the dominant manufacturer of handsets these days.

 

[Digerati]

Companies can definitely recover and reinvent themselves - but isn't Motorola a good example of a company losing its dominant position as a result of these kinds of things?

I think many factors, including several bad executive decisions hurt Motorola. The fact they have been sold to Google then again to Lenovo just a couple years later, redirecting their goals and decimating their management ranks each time, has not helped.

Also, they invested heavily into the mobile phone industry. About that same time, it really didn't matter how good your product was; Samsung and Apple dominated the market and essentially squashed almost everyone else. If you look at the marketshare numbers, Motorola is typically lumped in with "Others".

 

[jcgriff2]

Full disclosure: I've been buying $50 worth of Intel in a DRIP (dividend reinvestment program) every month since November 1995. I'm up to 655.73 shares now. I also have a bit of AMD. So I been paying attention to how they do. And frankly, I'm doing quite well with both. :)

Excellent. Dividend reinvestment plans are a very good option.

That is how I started off in my teens investing in stock and stock options (needed dad's signature on the accounts as I was underage).

But - all have been liquidated years ago.

 

[Digerati]

Excellent. Dividend reinvestment plans are a very good option.

Yeah, I recommend DRIPs for anyone looking to get started in investing who doesn't have a big chunk of spare cash on hand to get started. It is so easy and painless. Typically, you only need to own 1 share of the stock to start and most of the time, once in the program, there are no commission fees for your monthly investments, or when the dividends are reinvested.

Another thing that is real nice with DRIPs is if your monthly investment or the dividend is not enough for a full share, you get the equivalent fraction of a share. No big deal.

I wish I started much earlier than I did. I started with an allotment payment out of my very first retirement check after I retired from the military. I never saw the money so I never missed it. I am looking to cash out my Intel later this year and make a nice down payment on a new car. :)