Apps processor market to match CPU market in 2015.
While the CPU market is growing in single digit percentages, the applications processor market is growing at 40% a year and, by 2015, the value of the markets will match at around $33-34bn, according to Nomura.
With ARM-based processors expected to move into computing, this gives Samsung its chace to overtake Intel in the processor market.
The gap is wide at the moment, with Intel’s chip revenue at $50bn and Samsung’s at $30bn, but a move to ARM-based computing could see Samsung closing the gap, say Nomura analysts.
ARM is dominant in the fastest growing processor end markets such as tablets and smartphones and Intel is dominant in slow-growing markets like notebooks, stagnant markets like desktops and declining markets like netbooks.
The battle lines are drawn between Intel’s lead in process geometry and ARM’s lead in power efficiency and lower production cost.