Feeds

AMD sacked by ATI costs

Oh yeah, and Intel

New hybrid storage solutions

AMD reported its first net loss in two years as its acquisition of ATI added to losses stemming from a crushing price war with Intel.

The results are further confirmation that Intel is reasserting its heft, thanks to the release earlier this year of a bevy of new chips based on a refurbished microarchitecture. AMD's profit was especially bruised by sinking prices for server chips, AMD's strong suit over the past few years.

Not that Intel has been immune from casualties. Last week, it reported a 39 per cent decline in profit as it unloaded old products in a fire sale, reorganized the company and dumped employees.

But things have been looking up for the larger chip maker. Its success was on display earlier this week when Sun Microsystems said it would start selling Xeon-based servers, a blow to the image that only AMD was good enough for the job.

AMD's fourth-quarter net loss was $574m, or $1.08 a share, compared with net income of $96m, or 21 cents a share in the same period last year. This year's figures included costs $550m for its purchase of ATI.

Revenue was $1.77bn, compared to pro forma revenue of $1.84bn last year. That was slightly better than the average Wall Street forecast, made tepid ever since AMD warned two weeks ago that gross margin would be hurt by "significantly lower" average selling prices.

The company - which four years ago shed its image as a perennial underdog with the introduction of the Opteron - forecast revenue for the current quarter that was below analyst expectations.

Shares fell almost five per cent in after-hours trading. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Quit drooling, fanbois - haven't you SEEN what the iPhone 6 costs?
How keen will buyers be when exposed to the real price?
Ex-Autonomy execs: HP's latest wad blows apart fraud allegations
Top bods claim IT titan's latest court filing is smoking gun of 'reckless aggression'
Forget silly privacy worries - help biometrics firms make MILLIONS
Beancounter reckons dabs-scanning tech is the next big moneypit
Elon Musk says Tesla's stock price is too high ... welp, NOT ANY MORE
As Nevada throws the SpaceX supremo a $1.25bn bone
Microsoft's Office Delve wants work to be more like being on Facebook
Office Graph, social features for Office 365 going public
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.