CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
According to a Reuters report, NVIDIA intends to begin designing CPUs for PCs on ARM-based architecture as early as CY 2025 (AMD also plans to do the same). We would note the market is currently dominated by INTC and AMD’s x86 chips while QUALCOMM has been developing ARM-based CPUs for years now. Windows-based PCs have lost considerable share in recent years and Microsoft could be luring others to get into the market (exclusive QUALCOMM ARM-based contract expires in 2025) developing CPUs to reduce its high emphasis on INTC. We believe that INTC is clearly poised to be the biggest loser (best case scenario is no share loss) as the PC space adds more CPU competitors into the market, with INTC generating about half its revenue from the PC space. INTC has been a share loser in the PC space over the years, largely due to Apple booting the company from the Macs and instead designing their own M1 and M2 silicon chips, while AMD has been a more formidable #2 CPU player in both the data center and PC markets.