AMD needs some way to into that market. Yes, that is the key to their success. But price is not the way to compete there. Features, stability, reputation, quality, etc. That is how you get into that market. ECC memory is one massive feature to tout. They don't also need price.
What AMD needs is to have more money to get it into Dell's hands, validate the crap out of it, and bring those results to potential customers. That costs money that AMD doesn't have and will not have unless they start charging for it.
The phrase "no one has been fired for buying IBM" has been applied many times to Intel as well. If you are the one recommending, approving, or buying 20,000 computers, then you better believe that you will double think what will happen if something goes wrong and the CEO asks why you didn't buy the name brand. Remember, the CEO (or similar person of power) probably rates wine taste by the price that they were told that the wine cost (regardless of the actual quality of the wine). http://www.telegraph.co.uk/news/sho...-better-if-they-are-told-it-is-expensive.html, and for similar reasons thinks that Apple makes the best everything, Dyson makes the best vacuums, Starbucks has the best coffee, etc.
On the low end, low price is killing AMD. For decades, AMD had the cheap chips and OEMs put them into cheap computers with cheap motherboards and cheap components. Guess who gets blamed if something is slow, bad, or malfunctions? AMD is the only sticker easy to see from the outside of the box.
Price = quality in many decision maker's minds. Are you willing to put your job and reputation on the line for it to buy 20,000 computers? This has nothing to do with the quality of AMD's chips. It has all to do with the psychology of people. This isn't even limited to AMD. It is running a business 101.
http://www.marketingdonut.co.uk/sales/sales-techniques-and-negotiations/don-t-compete-on-price
https://creativepro.com/three-big-reasons-never-compete-price/
http://www.nextmarketing.com.au/201...-3-reasons-you-should-never-compete-on-price/
http://consultantjournal.com/blog/why-you-never-want-to-compete-on-price
I think with companies like Baidu and Microsoft being initial customers for Epyc it will help AMD in that regard as they have significant resources. The Baidu CEO was confident enough to talk about the product on behalf of AMD for example.
We all know Intel will still outsell AMD,but its about AMD carving out its own little pocket in the higher margin markets - Intel by its very size has much larger overheads so needs to support a much larger sales base,so even if AMD makes a relatively smallish dent in Intel sales,it would be enough to improve their finances quite a bit.