Is the worst over for AMD?

AMD 'businesses of processor of S.A. be in the discharges for of course a year. But a resumption of forwardings of quadruple-core and a reduction of its labour, although painful, can announce a reversal.

Opteron Quadruple-core of AMD finally on its way with the computer manufacturers

(Credit: AMD)

Before we obtained with the good news, 's leaves consider initially a Draconian scenario for Advanced Micro Devices. While the manufacturer of integrated circuits announced Monday that it cong�dierait 1.650 employees at the end of this year, the actions planed just above $6, to the bottom from mid- the $ 20 S.A. the year there is and approximately $40 two years ago. If the things do not improve, the company can be duplicated in two, according to Ashok KUMAR, an analyst with the group of capital of tube.

KUMAR sees a scenario in which AMD forks in a preoccupation with a manufacture and a company of design. If the incomes upwards put the 'tendency of T by second half, it is a true possibility according to KUMAR. They put 't have too many options with, of overhang of debt (of the acquisition of ATI) it said. The soft economy can not help of the subjects either.

KUMAR enumerated the well-known reasons of AMD 'of deficits of benefit of S: Miss competing offers, of asp mixed (average selling prices) well below Intel 's, and the delayed slope of the high quadruple-core at end Opteron.

But these negative--thus the optimistic account on AMD goes--of integrated circuits the 's beyond that, not its future are the manufacturer. After a very long delay (approximately a year), AMD 'Barcelona quadruple-core of S for waiters right is on the spot to be transported to largest the data-processing companies in the world: IBM, Hewlett-Packard, Sun Microsystems, and Dell, in particular. Barcelona asp is 300 more (dollars). It historically was the group of benefit of the company that, KUMAR said. Once Barcelona slopes of AMD and Phenom of office of quadruple-core, things clearly improve, it said.

And AMD 'offers mobile of S obtain better too. They were probably at their weaker point in 2007, with senior says McCarron, with founder and research director of Mercury. Prochain cycle of design for books occurs in this moment. You can without risk say that they are more competing than they were last year with respect to Nvidia, it said.

Along these lines, AMD slated to highlight mobile puma platform this quarter. The puma is based on the tiddlywinks of RS780M and the AMD 'the processor of griffon of duel-core of S--now ultra Turion called. New Turion is all about power (to reduce the power, each core can function at various frequencies) while the RS780M, AMD claims, is up to five times more quickly than Intel 'silicon running of graphs integrated by X3100 of S.

Associations can also help AMD on the mobile market. They the 'VE partnering with some of the most aggressive OEM outside there. That plays their favour, with Jim says McGregor, an analyst with In-Stat. Companies like Acer and Toshiba was world extremely aggressive, particularly in North America, to, of profit of market share it said.

The desktop machine better also looks at, with the processors of triple-core and Phenom of quadruple-core just starting to be transported in volume.

All this optimism is careful, naturally. Condition of competition that they 're is now a little different inside that which they were front inside. Intel is McCarron much more extremely, known as. We have Nehalem (microarchitecture of the second generation of Intel) to come at the end from tail the year and the products of Penryn are, very competing it were added.

AMD also stated Monday that it expects that announces the income of first quarter of $1.5 billion, approximately 15 percent lower than the fourth quarters. It is well below the seasonal declines. The so nearest incomes could be ugly in certain connections. More withdrawal in the consumer and the expenditure of businesses. Q2 tends to being a little low in terms of, of incomes informed McGregor, referring to the factors which affect Intel and AMD. They 'about the facing a little of the head wind in terms of economic conditions and spending.

And all positive the cities above can occur slowly for AMD. Choses puts 'oscillation of T during the night. They take, of time McGregor said.