June 5, 2009, evening update
Imminent: The minimum negotiation period for the Intel-AMD cross license has passed. Intel may file against AMD at any time. Also, Abu Dhabi are rumored to be bidding on Chartered Semiconductor.
1. In March, Intel charged AMD with breaching the x86 license over AMD's sale of Intel's IP. Abu Dhabi has more than 70% direct and indirect interest (71.3% = 65.8% + 16.04% * 34.2%) in GlobalFoundries, making GF a third party, not a subsidiary. On recission, AMD will lose the right to make Intel-compatible CPUs. Intel will retain access to all AMD IP it has now.
2. AMD is on Moody's “Bottom Rung” list of riskiest debtors. It has $3.7B in debt and no profits (in the average analyst forecast) to pay it off. Part of that is collateralized on cash that will be called away if cash drops below limits in the loan agreement, leaving AMD with the rest of the debt and no operating funds.
3. Intel Core i7 destroys benchmarks in performance and performance/power. AMD CPUs are not competitive. AMD's top CPUs are over a year behind Intel's. AMD brands chips "overclockable" but voids the warranty on overclocked parts. AMD's top GPUs barely reach nVidia's and are clocked to their limit.
4. AMD's CEO has no plans to compete in the huge netbook segment with Atom, Nano, and Tegra, and claims not to understand why it exists. AMD is incapable of entering the growing Physics and FPGA processing markets.
5. AMD no longer makes chips. AMD is locked in a 15-year agreement to have all CPUs made by GF, and to move GPUs to GF over time, paying GF's prices no matter how high.
6. GF is a divestment, not an investment. It hikes AMD's unit costs, collapses AMD's asset base, drains margins into GF's hands, brings too little cash, and makes AMD's financial reports indecipherable. GF cost AMD $4 billion in assets to get $825M in cash and move $1.1B in debt. It diluted shareholder value by 10-12%. At current burn, cash will be below $1B in Q3/09. The deal cost AMD $1B and forced shareholder equity to go negative. The stock is liable to be diluted further upon groundbreaking at Luther Forest.
7. The debt transferred to GF will still be paid by AMD as part of unit costs. The only way for AMD to reduce production expense is to sell fewer units.
8. AMD wrote off the ATI goodwill and assets meant to generate profits to pay debt. AMD reported this as false shareholder value for two years before admitting it.
9. Semiconductor sector revenue is projected down 22-24% in 2009 vs. 2008, while AMD has lost share. PC sales will be down 12%.
10. Bad management and recession have forced AMD to lay off large portions of their workforce, impair assets, dump unsellable inventory, and reorganize into a single vertical unit.
11. AMD delayed Bulldozer, a full revision of its core x86 family, from 2009 to 2011. This purports to be its first 32-nm chip. Putting a new design on a new process is a high risk Intel avoids with its Tick-Tock strategy. To compensate for Bulldozer, AMD accelerated Istanbul by 5 months, increasing its risk.
12. AMD delayed Fusion, the CPU/GPU combo that drove the ATI purchase, from 2009 to 2011. If it ever comes out, the ATI IP in it will be obsolete. Intel, nVidia, and VIA are preannouncing their CPU/GPU first-to-market candidates. AMD reused "Fusion" as a brand for a platform that does not include CPU/GPU chips. This further exposes its purchase of ATI as a $5 billion error in planning.
13. AMD's legal attacks cost AMD far more than it can gain. Intel's defense is paid by insurance. The US suit was delayed again due to AMD's failure to find sufficient evidence despite receiving millions of pages of documents. EU commissioners fined Intel $1.45B for alleged illegal rebates, Intel is taking them to court, and AMD got nothing.
i don't want to go into details of your other lies - but you give the word imminent a completely new meaning: you post this lie now for about a month after the "deadline" expired. yet, there is no action going on.
how come? we already answered it last summer - but as usual you continue to ignore facts.
fact is that the cross-license is still intact - and fact is that intc has less technology on the table and more dependent on amd licenses than ever.
which of course you tend not to tell in your "summaries" as well.
I could link the Intel stories about it possibly taking the AMD license from AMD.
They were out on may 16th.
But you already read them.
I could put the credit reports on AMD that say it has serious risk of defaulting on its debt.
But you already know this.
I could post how AMD loses to Intel on most benchmarks, but you would just post nonsense back.
I could post how it is that AMD will lose money this quarter and next making it THREE full years of losing money in each and every quarter but you would just ignore this and call me names.
Anything so far that I have posted that is not true?
So you think I am giving you all heck.
but I just tell you the truth and you think it is heck.
AMD is a wreck.
Just curious, what qualifies as an attempt to being an impostor? Having a similar ID?
Because I've seen trash talk on BOTH sides changing l's to 1's, etc for the better part of a decade. It's annoying, but hardly an actionable offense when clearly the "impostors" sounds nothing like the "real" person.
And monkey with almost dbl-digit variations of his own ID here (5? 26? which is it today?) is hardly the person you want defending you on ID variant complaints :)
The same asshole uses my amdmonkey5 name.
I like it now because it shows me he hurts.
Every-time he uses my name, I know I have kicked him in his little marbles.
It is an old friend of mine. it is amazing to me that he even bothered using my name because he knows it will not stop me from posting.
I guess he was on a kamikaze attack to destroy the entire board.
I told him to go home to Loser Village.
I post over there occasionally and the same poster is polite over there.
It seems to me he is quite angry about his AMD losses.
It sucks to lose money but he should have sold.
He really did believe the AMD dream of a 2 year chip advantage. He thought AMD would get 50% market share and all that.
He was of course wrong.
Hector screwed him and rather than trash AMD management--he moves his anger at AMD shorts here.
He will get bored with the impersonations soon.
For sure he knows I do not care.
I laugh my ass off when he uses my name knowing how angry he is.
Get over it and stop your pathetic crying.
AMd is so screwed that even old time aMd FANS KNOW IT.
And is more great news for AMD longs!!
June, 1st 2009 **Appro's Servers and Supercomputing Solutions to Support the New Six-Core AMD Opteron(TM) Processor**
June, 1st 2009 **Supermicro Optimizes Full Line of AMD-based Server, Blade, and Workstations for New Six-Core Processors**
June, 1st 2009 **BOXX Introduces New Workstations Featuring Six-Core AMD Opteron(TM) Processors**
June, 1st 2009 **Cray XT5 Series of Supercomputers Now Available With Six-Core AMD Opteron(TM) Processors**
June, 3rd 2009 **AMD Saved by Istanbul (Not Constantinople)?**
June, 1st 2009 **New Six-Core AMD Opteron Processor Delivers Up to Thirty-Four Percent More Performance-per-Watt in Exact Same Platform**
June, 1st 2009 **AMD Triples the Performance of ATI Embedded Graphics Chips**
June, 3rd 2009 **Phoenix Technologies Announces HyperSpace(TM) as the Only Instant-On Computing Environment Optimized for the Second Generation AMD Ultrathin Notebook Platform**
June, 3rd 2009 **AMD Demonstrates World's First Microsoft DirectX 11 Graphics Processor**
June, 2nd 2009 **AMD Launches New Chip For Worldwide HDTV-on-the-PC Reception -- Transforms Notebook and Desktop PCs Into Media Entertainment Centers**
June, 1st 2009 **AMD Introduces Next Generation AMD Athlon II Processor, Adds Dual Core to Record-Setting AMD Phenom II Processor Lineup**
very informative ....I wish you could just once skip the new miracle products that MAYBE AMD will actually produce and tell us how amd will stop the losses and try to stay in business a bit longer.
wonderful post .. always a 5 star rating ...
read it at least 40 times and its still one of the greatest posts ever.
Shakespeare was a zero compare to your work .
keep it up !!!
Be patient just a little longer and AMD will fall never to rise again .
LOL and tpdave continues to marginalize true intellectual accomplishment in order to kiss his "team"'s hind regions.
First he called amdmonkey5 a genius last week (oh good lord), and now YBF posting a 1-page variation on a theme over 100 times is better than Shakespeare?
tpdave I used to disagree with you at times, but now that it's clear you lack any kind of standards to set apart the exceptional from the mundane, I'm really not sure how it makes sense to argue with you EVER. Your interpretation of the world seems to lack a certain discernment of scale which would seem to be necessary draw a line between the what is relevant and what isn't.
Not that there is anything WRONG with that, mind you. My two-year old gives an excited "WOW!" when he sees Nestle's Quik turn milk brown. You are truly blessed that you still find wonder in things most of us took for granted long ago in our distant youth.