CPU sales experience biggest decline in 36 years, only one company makes a profit

computer industry lived two years of dreams, those of pandemic. As people stay at home, get bored and work remotely, sales of laptops, desktops and gaming PCs have skyrocketed. also contributed “boom” of cryptocurrencieswhich has turned the GPU market into a desert without stocks.

But the pandemic came to an end, the bubble burst and the wasteful waste of energy of cryptocurrencies, other inconveniences arose that led to processor sales to the biggest drop in 36 years.

Mercury Research has published its second quarter 2022 processor sales reportand it’s destructive. We don’t have all the data because this is a paid report for companies in the sector, but Tom’s Hardware has access to some partial results.

According to Mercury Research, CPU sales have fallen to unprecedented levels for the 28 years that they make this type of report. They think that this is the biggest drop since 1984, 36 years ago.

This drop came as OEM assemblers reduced inventory, cutting demand to a minimum. For the first time in decades, Intel is losing money, and NVIDIA cut its sales forecast by $1.4 billion due to the collapse of cryptocurrencies. calculated that By the end of the year, GPU sales will drop by 50%.

ARM, for its part, is down 11.3% in the second quarter of 2022., due to poor sales of Apple computers with M1 processors. Here Apple is blaming lockdowns in China.

The only winner, and a big one at that, amd, what continues to increase its profit year by year by 70%. It increased its market share in mobile processors to 24.8% and servers to 13.9%. It also sets own record among desktop processors – 31.4% of the market.

Why did the processor market experience such a sharp drop? end of pandemic has a reduced demand. But also recent blocking in China there were problems with the shares. invasion of Ukraine exacerbated the chip crisis and rising commodity prices, and inflation makes people think twice before buying a PC.

Also keep in mind that prices were exorbitant during the pandemic. Manufacturers have raised prices wildly to do business, and now no one wants to pay them.

The only solution to restore sales is obvious: cut prices. If you’re planning to buy a PC… it’s time to wait a bit. Offers will be received from now until the end of the year.