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AMD Rumored To Announce Layoffs, New Hardware, ARM Servers On Monday
MojoKid writes "After its conference call last week, AMD is jonesing for some positive news to toss investors and is planning a major announcement on Monday to that effect. Rumor suggests that a number of statements may be coming down the pipe, including the scope of the company's layoffs, new CPUs based on Piledriver Opterons, and possibly an ARM server announcement. The latter would be courtesy of AMD's investment in SeaMicro. SeaMicro built its business on ultra-low power servers and their first 64-bit ARMv8 silicon is expected in the very near future. However, there's always a significant lag between chip announcements and actual shipping products. Even if AMD announces Monday, it'd be surprising to see a core debut before the middle of next year."
I've worked for a few very large companies who have made huge redundancies amongst engineering staff just as soon as projects are completed and ready to ship.
The logic is pretty simple: there are great new products ready to go and the cost base can be instantly reduced by letting go thousands of staff making profits might higher as a proportion of the cost base in the very short term (next 1 to 4 quarters).
The trouble is, you have to skate to where the puck is going, i.e. you have to be constantly developing new and better stuff to come out in a year to 18 month's time. If you don't have the R&D staff, you are in a tricky situation.
I suppose the logic is that you can hire people back when you're out of the economic hole, but I've never seen that happen. What does happen is a continuation of the company's decline until it eventually gets bought out.
Many of the people can't be hired back anyway, because they've moved on with their lives (retired, retrained, got new jobs). Do CEOs think that us little people sit around on our backsides all day worshipping their corporations and doing nothing except waiting for them to offer us jobs?
When you let your institutional knowledge leave the building, it goes for good. MBAs don't understand this.
Stick Men
Intel's 22nm transistors certainly do. The overall chips don't because the price differential between even a top-line 8 Core Sandy Bridge Xeon chip/system and the Power7 chips/systems that actually have the high-end performance you are talking about is similar to the price differential between the chip in my cellphone and the high-end Xeon chip.
I know guys that do CPU design for IBM and they will flat out tell you that Intel has a better process. The difference is that IBM is making chips for million dollar+ servers with huge legacy needs in markets where even Itanium isn't trying to compete. At that point, you can afford to design CPUs with 200+ watt TDPs and exotic liquid cooling systems that are made in tiny quantities compared to what Intel & AMD churn out.
AntiFA: An abbreviation for Anti First Amendment.