AMD Not Competing with Intel Anymore, Goes Mobile

[cold2010]

In a move than could very well be interpreted as exchanging one problem for another, Advanced Micro Devices has decided to stop focusing so much on the PC business and get its act closer together on the mobile front.

The Bulldozer disaster, as it is known in some circles, must have persuaded AMD's leadership that the PC side of their business wasn't flying very well and far anymore.

Though everyone was expecting much from 8-core processors, the performance was, in the end, well lower than some of AMD's own previous-generation chips.

Whether because of this or something else, it was reported that Advanced Micro Devices has chosen to distance itself from its competition with Intel.

That is to say, it will focus less on processors for PCs and pay more attention to the mobile market.

As such, it will probably start to customize its Fusion platform in such a way as to create tablet and smartphone chips.

"We're at an inflection point," said AMD spokesman Mike Silverman, according to a Mercury News report. "We will all need to let go of the old 'AMD versus Intel' mindset, because it won't be about that anymore."

If anything, 2011, with more than half a year of lacking an actual CEO, was a clear symptom that Advanced Micro Devices had to do something, and soon.

The company has a new leader now and, sure enough, the man took some fairly drastic measures, and that includes more than this latest change in direction, as well as a branded RAM project.

The workforce also suffered, especially the PR and marketing departments AMD axed large portions of each as part of its plan to cut total worldwide employee count by 10%).

The complicated thing about the focus on mobile is that ARM already has that well enough in hand, and NVIDIA just launched the Kal-El too. AMD may just be exchanging one headache for another with this

http://news.softpedia.com/news/AMD-N...e-237103.shtml


UPDATE November 30

AMD Still Committed to x86, Whatever That Means

Yesterday's report about how AMD had decided to stop competing with Intel predictably stirred a lot of question and speculations, but at least some fears may be assuaged.

To offer context, AMD said it wasn't going to try and compete with Intel anymore and, instead, turn to the low-power chip market.

This was mostly interpreted as mobile device platforms and, perhaps, the cloud.

Essentially, the short reported statement was enough to
suggest Advanced Micro Devices may be considering anything from lessened emphasis on CPUs to total backout from the x86 chip industry.

Thus, many questions and fears were raised, so words on the company's part were bound to show up soon.

Sure enough, even if the Sunnyvale corporation didn't make some big announcement, it told The Verge that it remains committed to x86.

“AMD is a leader in x86 microprocessor design, and we remain committed to the x86 market. Our strategy is to accelerate our growth by taking advantage of our design capabilities to deliver a breadth of products that best align with broader industry shifts toward low power, emerging markets and the cloud,” the statement says.

This doesn't actually dispute most of the speculations though, only the ones about AMD pulling an HP.

It is still all too easy to assume AMD will leave the PC processor market to Intel and see what it can do in other areas.

Nonetheless, this is as far as rumors can go, since nothing will be made truly clear until AMD holds its next strategy update, in February, 2012.

The failure of Bulldozer to actually impress continues to be the main culprit behind this assumed turn of events.

Still, even if one product slid off the slippery slope, AMD continues to have a solid following, even if Intel leads in terms of sales amount, hence the veritable uproar

http://news.softpedia.com/news/AMD-S...s-237441.shtml

[bamtan2]

Sketchy article. Hard to tell how much is made up. Seems like a lot.

And if AMD leadership actually believes it won't be AMD vs Intel in the mobile space, they're in deep trouble. Honestly that quote has me questioning their sanity.

Intel is doing mobile, too, guys.

[xBanzai89]

Agreed. AMD finally just started making more of a dent in the mobile space due to their APUs in Laptop let alone tablets/phones. Intel really wants a slice of the tablet/phone market and sounds like they will be releasing something in 2012 with the successor to the Atom. Intel has a product out in there before AMD has anything in that space and they say not to worry about Intel. Thats funny.

[Pantsu]

Guess we'll have to see how drastically they'll change their roadmaps. The quote didn't actually say "We'll stop producing high end CPU's", but that's exactly what it implies if they don't want to compete against Intel.

[Evantaur]

Guess we'll have to see how drastically they'll change their roadmaps. The quote didn't actually say "We'll stop producing high end CPU's", but that's exactly what it implies if they don't want to compete against Intel.

if they don't...who does?

[freeloader]

if they don't...who does?

Unfortunately no one. I'm pretty sure VIA is the only other company with a X86 license and we all know they're not going to step up to the plate. Very very sad news if it's indeed true.

[SKYMTL]

This is a prime example of reading too much into a PR person's statement.

How does:


"We're at an inflection point," said AMD spokesman Mike Silverman, according to a Mercury News report. "We will all need to let go of the old 'AMD versus Intel' mindset, because it won't be about that anymore."

Become:

In a move than could very well be interpreted as exchanging one problem for another, Advanced Micro Devices has decided to stop focusing so much on the PC business and get its act closer together on the mobile front.

All the spokesperson said is that the market isn't JUST about competing with Intel anymore. That is 100% true. With ARM-based cores making some serious inroads, the traditional "PC" space has evolved a lot in a very short time. AMD and Intel now have to think of everyone from Samsung to Qualcomm.

Heck, Bulldozer may not be the greatest but is it a product without a future? No way. It has plenty left in the tank and could become a go-to option in certain circles once the kinks are worked out.

[Torrentskillz]

I feel it safe to say (after owning both AMD and Intel platforms) There has never really been much of a "competition"... If youre building a PC and trying to keep costs down... you go AMD, if you are building a PC and want performance... You get an Intel Chip. This is just my opinion

[kaktus1907]

Unfortunately no one. I'm pretty sure VIA is the only other company with a X86 license and we all know they're not going to step up to the plate. Very very sad news if it's indeed true.

well i found this no idea true or false..

IBM has a really crazy x86 license. They can fab any x86 chip they want, and a third party can come to them and fab an x86 chip even if they don't have an x86 license. My understanding is IBM's fabs are more expensive than most other fabs though so it hasn't been worth it. I'm a tiny bit suprised that IBM hasn't had interest in buying out Global foundries yet though.

Question is Does IBM really want good Xeon competition for Intel? Pushing Intel to improve Xeon would be bad for POWER though.. I can see how IBM would be happy with the way things are standing right now..

[Piotrsama]

I feel it safe to say (after owning both AMD and Intel platforms) There has never really been much of a "competition"... If youre building a PC and trying to keep costs down... you go AMD, if you are building a PC and want performance... You get an Intel Chip. This is just my opinion

Not now, maybe, but "never"?
You missed quite a few things in this market, it seems....

[Aberration]

Even though the A64 was a better chip there was still really no competition. Intel chose them, for that very reason.

IMO, this farce has gone on long enough. And technology is stagnating because of it.

Break Intel up, and bring real competition.

[hokiealumnus]

This is a prime example of reading too much into a PR person's statement.

How does:


"We're at an inflection point," said AMD spokesman Mike Silverman, according to a Mercury News report. "We will all need to let go of the old 'AMD versus Intel' mindset, because it won't be about that anymore."

Become:

In a move than could very well be interpreted as exchanging one problem for another, Advanced Micro Devices has decided to stop focusing so much on the PC business and get its act closer together on the mobile front.

All the spokesperson said is that the market isn't JUST about competing with Intel anymore. That is 100% true. With ARM-based cores making some serious inroads, the traditional "PC" space has evolved a lot in a very short time. AMD and Intel now have to think of everyone from Samsung to Qualcomm.

Heck, Bulldozer may not be the greatest but is it a product without a future? No way. It has plenty left in the tank and could become a go-to option in certain circles once the kinks are worked out.

Prescient as always.

If you read the post from which this rather sensational piece pulled a single quote, it is not nearly as dire as this piece makes it seem. From a CPU only perspective, AMD is probably just facing reality. Without serious engineering victories they won't be competing with Intel's kilo-buck CPU any time soon.

The FX series is not at war with Intel for the top performance crown. It's not exactly stellar for any crown, but is still decent for the price point AMD set (it's still too over-inflated at retail IMHO). Price for performance has been the AMD mantra for years, they're just embracing that rather than putting out stupid comic books saying they're going to topple Intel.

Then as stated, there's the additional ARM business AMD is going to be adding. They're not going away, nor will they be abandoning CPUs. This seems like nothing more than out-of-context sensationalism.

[ExodusC]

This is a prime example of reading too much into a PR person's statement.

How does:


"We're at an inflection point," said AMD spokesman Mike Silverman, according to a Mercury News report. "We will all need to let go of the old 'AMD versus Intel' mindset, because it won't be about that anymore."

Become:

In a move than could very well be interpreted as exchanging one problem for another, Advanced Micro Devices has decided to stop focusing so much on the PC business and get its act closer together on the mobile front.

All the spokesperson said is that the market isn't JUST about competing with Intel anymore. That is 100% true. With ARM-based cores making some serious inroads, the traditional "PC" space has evolved a lot in a very short time. AMD and Intel now have to think of everyone from Samsung to Qualcomm.

Heck, Bulldozer may not be the greatest but is it a product without a future? No way. It has plenty left in the tank and could become a go-to option in certain circles once the kinks are worked out.

Thank you for being the voice of reason, as usual, SKYMTL.

When I saw the post title, I highly doubted AMD made an explicit statement that they no longer plan to compete with Intel, and were going to focus on the mobile market (where Intel still exists, and does well).

Unless I see said explicit statement from an AMD representative, I'll go with the logical explanation that the article is severely exaggerating a different statement.

Not now, maybe, but "never"?
You missed quite a few things in this market, it seems....

I would say so... Anyone else remember the Athlon (and Athlon X2) vs Pentium 4 days?

[Manicdan]

if this was an official news story, id expect the stock price for AMD to take a huge swing in some direction.

[Aberration]

http://www.mercurynews.com/business/ci_19358655

Much better article IMO. It appears to be the original, that everyone is copying and reinventing.

[paulbagz]

Agreed. AMD finally just started making more of a dent in the mobile space due to their APUs in Laptop let alone tablets/phones. Intel really wants a slice of the tablet/phone market and sounds like they will be releasing something in 2012 with the successor to the Atom. Intel has a product out in there before AMD has anything in that space and they say not to worry about Intel. Thats funny.

Intel Neutrino?

-PB

[haylui]

AMD need some strategic change in order to make money and survive better.

[Mungri]

I feel it safe to say (after owning both AMD and Intel platforms) There has never really been much of a "competition"... If youre building a PC and trying to keep costs down... you go AMD, if you are building a PC and want performance... You get an Intel Chip. This is just my opinion

This is only currently true while AMD CPUs are behind Intel.

Back when AMD were thrashing Intel in the S939 days, an Athlon X2 4400+ cost around £350, and the 4800+ around £400+.

The problem with AMD at this point was that they relied on the Athlon architecture for too long, and by the time, and ever since Intel released the C2D and its successive chips, AMD were unable to compete, and constantly failed at trying to catch up, hence they then had to undercut Intel's CPU prices to remain competitive.

If the current performance of AMD and Intel CPUs were reversed, CPU prices wouldnt any different, it would just be AMD CPU's at Intel's current price points and vice versa.

I definitely remember paying £325 for my Athlon X2 4400+ after months on end of searching for a sub £350 price. At least now with Intel, you can get top performance and architectures at the £150-200 price point simply on slower base clocks which matters little when overclocking.

[minpayne]

I sincerely wish AMD give up the competition, so I can just safely spend $999 on an Intel CPU to last several years without having to worry about upgrades, which saves lots of money.

[awdrifter]

After AMD sold it's fab I kinda guessed they would become like Via, only able to compete on very low power CPU. Looks like this is happening now. Too bad the Bulldozer was such a failure, if it was at least competitive it might've saved AMD. A lot of you talk about Intel will slow development and increase prices, I don't think they can increase prices for the consumer CPUs too much, because people will just keep their PCs for longer. And the slower development is also not all bad, if there's a stable platform, software will start to be better optimized for the current platform. For stuff that really needs crunching power, there's always GPU computing.

[ExodusC]

After AMD sold it's fab I kinda guessed they would become like Via, only able to compete on very low power CPU. Looks like this is happening now. Too bad the Bulldozer was such a failure, if it was at least competitive it might've saved AMD. A lot of you talk about Intel will slow development and increase prices, I don't think they can increase prices for the consumer CPUs too much, because people will just keep their PCs for longer. And the slower development is also not all bad, if there's a stable platform, software will start to be better optimized for the current platform. For stuff that really needs crunching power, there's always GPU computing.

I'm somewhat curious not about how Bulldozer performs (since we all know that now), but rather how it is selling.

When I thought AMD was doing bad, they did post profits for last quarter. Not saying it's selling well, or even good enough to break even, but I do wonder.

[3NZ0]

I definitely remember paying £325 for my Athlon X2 4400+ after months on end of searching for a sub £350 price. At least now with Intel, you can get top performance and architectures at the £150-200 price point simply on slower base clocks which matters little when overclocking.

As do I, AMD really milked the a64 for everything it was worth and some. It seems quite a number of people have forgotten the £1000 price tag for the old FX line (the ones actually worthy of the moniker)

Intel isn't going to drop their game if AMD pull out, they are now apple's boy toy. Whatever apple says, Intel scrambles to get done and apple right now are demanding higher performing cpu/igp with lower power. Oh hey, look at that cpu roadmap.

I'm not so sure about where AMD is going, I can see what they're doing but not, at the same time. (if you know what I mean)

Entering an already saturated ram race to the bottom market? Odd. Even more so, their ram offering which needed to be faster than currently used memory so it could let llano shine is the same slow **** they already use.

Arm markets? Good luck with that, it moves hilariously fast. Tegra 2 got a ton of design wins due to the honeycomb partnership, that's not the case this time round with ICS. No doubt early adopters will try to cash in on the early quad core market till the krait S3/4 is available for use. Qualcomm is a hard one to match/beat considering they have matching radio's in their arsenal too. Samsung and Apple are also hard ones to compete with, the A5 and Exynos were pretty epic when they came out and still are, the A5 had and still had the fastest gpu fitted to an arm core. The next gen of stuff will no doubt continue the trend. The mobile market is just as hard to crack.

[Dainas]

Architecture competitiveness and software support has withered due a simple lack of R&D funding, something or someone has been sucking AMDs income.

[WangChung]

I don't understand, they're cutting jobs from their PR and Marketing departments... when's the last time you've seen an AMD commercial on TV? Or heard an extended feature/benefit comparison of a Dell/HP laptop more than just "HP's new widget features AMD processors. [END]" They're shooting themselves in the foot because they have no exposure. The average consumer knows little about AMD, and I hate to say it but consumers remember gimmicks. The shiny bunny suits from the 90s, the Blue Man Group, (to a lesser extent) the anthropomorphized robots. Apple sells so well because of their awesome marketing, not because their product is significantly superior than others.

AMD needs to stop banking its bets off the IT and enthusiast industry and start looking for some real exposure. It's the only way they'll survive in the long run.

[NEOAethyr]

This decision will have destroyed amd...
There mobile department is something like 1% of the market, whoever is in charge is a complete moron.

Edit:
Perhaps though there might be one good thing about this, if they go under they take ati with them, and good riddance...