AMD's Plan To Recover From Its Perfect Storm

An anonymous reader writes "TG Daily has an interesting write-up on AMD's big Q1 loss and how the company plans to get back into the black. AMD admitted that Q1 was a meltdown and not just a miss. Looks like cost cutting, including layoffs, may be on the way. But the company says it won't change its overal direction. The CEO Hector Ruiz is quoted as saying, 'We are not going to change our strategy because of one lousy quarter.'"

Comments

Not Technology, but Business

[vertigoCiel]

The big problem with AMD is not their processor lineup, it's their business process. They lost $600 mil on $1.2 billion on revenue. That means they needed almost two billion dollars *pinky finger to mouth* to break even. Sure, R&D is expensive, but not that expensive. They need to cut back on expenses to stay in the game.

Re:I like AMD and all but...

[ArcherB]

The "stay the course" strategy?

Why would AMD change course when they haven't even released the fruits from that course yet. The problem is not the course they're on, but how fast they are getting there.

So before you claim that their current products (the course they are on) are failures, shouldn't you wait for them to be released?

Re:I stopped buying amd because of ati

[Dunbal]

ATI has consistently made horrendous linux drivers.

Don't feel bad, the Windows drivers are pretty awful too.

Re:AMD 25 Year Chart

[FlyingGuy]

YOU, yes you are whats wrong today. You and your attitude is what drives companies out of business, which FAR to many people have. You want immediate gratification for you stock value. Back in the old days companies were invested in, not bet upon, by people who viewed investments in increments of 5,10 or even 20 years. They looked for dividends, not windfall profits. Back when companies actualy paid dividends people made a good return on their investments. These days with every pencil pushing asshole in NYC screaming SELL SELL SELL at the top of their lungs if a company misses "The Streets" target by even a few pennies, its surprising that a publicly traded company even stays in business.

Re:AMD 25 Year Chart

[jawtheshark]

I agree with you statements. My dad is of the "old days" and frowns upon the newer generation. I do too, because what I learned from him. On the other hand, it is still perfectly possible to invest in the long term and get dividends. The only difference, is that you won't get really-really-fucking-rich which is what happens when you have a lucky streak with in what you just described. The old way is to secure yourself, the new way is to have a chance to get rich quick.

Somehow the American dream (if I understood it correctly as a European) to "make it" by hard work and perseverance has been replaced by "get rich quick". I might have misunderstood though.