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Gateway doubles the AMD mix

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Gateway plans to double the amount of chips it buys from AMD due to Intel's product dearth.

The announcement came during a Banc of America Securities conference call. Gateway chief financial officer John Todd said: "We'll probably double our AMD mix or better this quarter in our consumer space," CNET reported.

The direct PC seller, which is now "far and away" AMD's biggest customer according to the chipmaker, recently blasted Intel for failing to deliver a steady flow of processors. Gateway blamed its own disappointing fourth quarter sales on Intel product shortages.

At the time, Gateway CEO Jeff Weitzen swore he would never again let a glitch at a manufacturer stand in the way of the company's growth.

AMD said it was now expecting other PC makers to follow Gateway's lead and increase their orders.

The chipmaker is forecasting shipments of 1.8 million this quarter – up from 1.2 million in the first quarter. It expects the number of units to exceed ten million in the second half of this year. ®

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