Tribal Instinct

AMD will recover much of this, but they had better get their ass in gear.


Declining microprocessor sales as well as dropping average selling prices for its microprocessors have pushed AMD deeper into the red. The company reported a net loss of $611 million on revenues of $1.233 billion, which is more than 20% below the guidance the company expected at the end of Q4 2006.

The loss includes charges related to the ATI acquisition in the amount of $113 million, but is mainly a result of the increasing competition with Intel in the microprocessor market. The company said that its Q1 margins were 31%, down from 40% in Q4 2006 and down from 59% in Q1 2006. "The decrease from the prior quarter was largely due to significantly lower microprocessor unit shipments, lower microprocessor average selling prices (ASPs), and the inclusion of the former ATI operations, which generally have lower-margin products, for the entire quarter, AMD said.

AMD had revenues of $1.332 billion and a profit of $259 million in Q1 of 2006; in Q4 2006, the company reported revenues of $1.773 billion and an operating loss of $529 million.

read the entire article here http://www.tomshardware.co.uk/2007/04/19/amd_reports_611_million_loss/

Not going to take the time to read the article, but I clearly expect the reason for the loss to be Pork's fault.

i agree on this one Ace

Ace wrote:Not going to take the time to read the article, but I clearly expect the reason for the loss to be Pork's fault.

I get blamed for everything. Actually the AMD 5600 Dual core is under 200 and it keeps up with and in some cases outpreforms the Intel E6300 in games.
A good way to build a new system if you are low on funds.
http://www.legitreviews.com/article/490/1/

Porkinator wrote:

Ace wrote:Not going to take the time to read the article, but I clearly expect the reason for the loss to be Pork's fault.

I get blamed for everything. Actually the AMD 5600 Dual core is under 200 and it keeps up with and in some cases outpreforms the Intel E6300 in games.
A good way to build a new system if you are low on funds.
http://www.legitreviews.com/article/490/1/

e6300 = $176 5600 = $195 Why pay more for something that "keeps up with 'some'"

Every company looses money right after a merger. There is great opportunity after a merger takes place and systems/processes/management/personell/mission/strategy is all hammered out. Unfortunately it usually takes 2-3 yrs after a merger for all this to work out and for many it never does. I hope it does because I could care less what hardware I buy and competition is good.

nonstop wrote:Every company looses money right after a merger.

Yep, blame it all on ATI.

Porkinator wrote:

Ace wrote:Not going to take the time to read the article, but I clearly expect the reason for the loss to be Pork's fault.

I get blamed for everything. Actually the AMD 5600 Dual core is under 200 and it keeps up with and in some cases outpreforms the Intel E6300 in games.
A good way to build a new system if you are low on funds.
http://www.legitreviews.com/article/490/1/

Intel put a quick end to that Pork. Now you can get the 6400 under 200 and the 6600 for a little over.

However, Intel also reduced the prices of its mainstream Core 2 Duo chips as well. The 2.66-GHz E6700, Intel's fastest offering in the Core 2 Duo lineup, now costs $316, down 40 percent. Intel also cut the price of its E6600 and E6400 by 29 percent and 18 percent, respectively, to $224 and $183. The E6300 and E4300 were also reduced by 11 and 31 percent, respectively, to $163 and $113.

From endgadget.