AMD takes a big hit & IDT exits x86 clone biz

About one billion of you wrote with the news that AMD took a operating loss this past quarter, and the COO and heir apparent to the CEO quit. In related news, IDT has declared that they quitting the x86 clone business. Wow-despite lower then expected earnings, Intel has to be pleased by this turn of events.

Comments

Things Of Note:

[HiroProtagonist]

I don't think that Intel is too happy about AMD's losses. For a couple of reasons:

1) Wall Street expected losses of 250 Million, AMD only lost 162 Million.

2) AMD's copper plant, a facility capable of producing .18 micron grade chips, is now online & AMD reports that they are on track to produce 1 GHz chips by first quarter of 2000.

3) AMD's biggest problem has always been trying to get their average chip price above $100.00. With the new Athlon processor made to compete with the Pentium III, at same (or lower) prices with better performance, they will reach this goal, and also have the fastest processor on the market.

4) All of this doesn't even take into account that the Intel Merced has been delayed AGAIN, and is now not even slated to be a large production processor, its predecessor will be, but its not scheduled to come out until 2001.