Bloomberg news AMD BASED DESKTOP PCS CAPTURE THE LEAD IN US RETAIL SALES RESTON, Va., Feb. 26 /PRNewswire/ -- The AMD-K6(R) family of desktop PC processors outsold all Intel-based desktop PCs (including Pentium II(R) and Celeron combined) in the U.S. retail market for the first time, according to PC Data's January Retail Hardware Report. The AMD-K6(R) family of processors accounted for 43.9 percent of all desktop PC processor unit sales in January. AMD benefited from a strong demand for under $1,000 PCs that accounted for over 65 percent of the market in January, the first time this price segment has exceeded 60 percent of overall unit sales. "This is a major milestone for AMD. This is the first time that a processor family, other than one manufactured by Intel, led the U.S. retail market," said Stephen Baker, senior hardware analyst at PC Data. Overall, U.S. retail sales in January rose 21.7 percent over last year bolstered by year-over-year growth in the sub- $1,000 segment of more than 180 percent. January unit sales in the sub-$1000 price segment accounted for a record 65.6 percent of unit sales, up from 51 percent in December 1998 and less than 28 percent in January 1998. Revenue fell by 2.3 percent versus last January, as the average selling price fell to a new low of $953, a 6 percent decline from December 1998 and a 19.7 percent decline from the January 1998 price of $1,187. AMD achieved market leadership status with strong results across all the key price points. Overall, AMD led with 43.9 percent of unit sales followed by Intel at 40.3 percent and Cyrix with 15.8 percent. In the fast growing sub-$1,000 market, AMD captured more than 50 percent of sales with Intel behind at 25.4 percent and Cyrix in third place with 24 percent. In the sub-$800 desktop market, AMD led with 45.1 percent, Cyrix finished second with 40.3 percent and Intel placed third with 14.6 percent. In the above-$1000 market, Intel maintained its leadership position with more than two-thirds of unit sales. Compaq maintained its overall leadership among OEMs, with 31.6 percent market share despite a year-over-year unit decline of 7 percent. Hewlett-Packard, rebounding from a dismal fourth quarter, accounted for 25.5 percent of unit sales -- its best showing since last September. IBM rounded out the top three with 12.8 percent unit share, with a unit increase of nearly 50 percent. The best-selling individual PC at retail in January was the Hewlett-Packard 4450, a Celeron 366-based machine with an average selling price of $874. The Compaq Presario 5204, a K6-2 350MHz item, finished second at an average selling price of $799. Finishing third was another AMD K6-2 product, the Hewlett-Packard 4440, which sports a 333MHz item and sells at an average retail price of $732. Based in Reston, VA, PC Data has been providing point-of-sale data since 1991 and has become the only comprehensive source of software and hardware sales information. The company provides software and hardware vendors with the point-of-sale data and analysis which forms the underpinning of their strategic decision-making process. PC Data supplies sales information to more than 800 software and hardware firms, which account for nearly 95 percent of total computer industry sales. The company's latest initiative includes PCData, an Internet monitoring service. In addition to tracking software and hardware sales through retailers, PC Data also tracks sales through educational resellers, corporate resellers and distributors. For more information on this and other retail reports, please contact PC Data via its Web site at www.pcdata.com or by phone at 703-435-1025. SOURCE PC Data
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