AMD did it to itself. AMD bought ATI without any short return investment.
Companies have to be prepared for the worse as the technology changes everyday and the competition is just in the outdoor waiting for your drop.
AMD had many management issues, paying higher salaries to people who were doing nothing. The cash cows have stopped and AMD have become what we know as of today. A demolished but at least a structured company.
AMD knew about the threat that it would face as Conroe benchmarks were shown earlier on March 2006. So the question is why did AMD buy ATI knowing about threat? Joy Of Life? Excessive Money?
Probably lack of business knowledge of the leadership or executive team , over confidence, perhaps naiveness with hypocrisy.
AMD had its competitive advantage now is history, AMD can not knock over a company that is almost 30 times more valued, miracles may happen after all.
Metroid.
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