AMD “Motherboard with AM5 socket, more scalable than Intel”
AMD lowered the price of the Ryzen 7000 processor last week ahead of Black Friday and Cyber Monday, emphasizing the scalability of the newly introduced AM5 socket from this year.
AMD posted on its official blog last week: ‘Let’s talk about desktop PCs: Is your platform an investment or a liability?’ AMD pointed out in this article that the LGA 1700 socket used by Intel’s 12th and 13th generation core processors has a short lifespan.
However, consumers are still hesitant to buy the Risen 7000 series processors last week due to expensive motherboard prices and DDR5 memory. Demand for new 3D V Cache built-in products, which AMD is planning to unveil in January next year, is also still on standby.
■ AMD “If you buy Intel processors this year, you need to reinvest your motherboard next time”
AMD said, “Those who bought the Risen 31300 processor in 2017 can upgrade to the Risen 75800X3D processor this year. However, those who purchased Intel’s 12th and 13th generation core processors this year have to spend a lot of money on future product upgrades,” he explained.
AMD also explained that the price of the new motherboard, which consumers currently consider to be the biggest obstacle, has been “appropriately set.”
AMD also explained, “B650E chipset motherboards support both PCI Express 5.0 graphics cards and NVMe SSDs, while Intel Z790 motherboards reduce bandwidth by half when PCI Express 5.0 SSDs are installed.”
■ Sales slump despite price cuts in domestic and foreign markets
AMD’s emphasis on the scalability of the Socket AM5 platform is also related to the sluggish Risen 7000 series processor for desktop PCs released in late September.
Consumers are turning a blind eye to the Reisen 7000 series because it lags behind 13th generation core processors in terms of price and performance, and because additional costs such as DDR5 memory and motherboards are expensive.
According to Danawa, a price comparison site, the share of Intel processors and AMD processors in the domestic assembly PC market is estimated to be 60% and 40% as of the end of November. However, out of the 40% share secured by AMD, the proportion of Ryzen 7000 processors is extremely small.
When looking at sales processors by socket type, LGA 1700-based processors used by 12th and 13th generation core processors account for 49% and AM4 socket-based processors such as the Ryzen 5000 series account for only 4%. This means that demand is high for products such as AM4-based Ryzen 75800X3D.
■ “The price of the main board is a problem…”Possibility of change after next year”
AMD lowered the price of its Risen 7000 processor at home and abroad ahead of Black Friday. Domestic market price cuts range from 8% (Risen 77700X) to 12% (Risen 97900X). However, it is evaluated that this price cut did not affect actual product sales.
An official from a mid-sized PC company said, “In addition to the processor, the price of DDR5 memory and AM5 motherboard are the factors that prevent the purchase of the Risen 7000 processor. “The price of DDR5 memory is on the decline, but the price of the main board is still high,” he explained.
AMD plans to unveil additional X3D products equipped with high-performance memory “3D V Cache” through CEO Lisa Su’s keynote speech at CES 2023 in January. It is expected to have higher performance than Intel’s 13th generation core processor due to its structure that reduces latency and increases performance by storing frequently used data in cache memory.
The official predicted, “Sales of platforms such as AMD AM5 mainboards will also be greatly affected in the future due to the range of processor performance improvements that AMD will release.”