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Toshiba gives price-cutting AMD the nod

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Toshiba is to start shipping laptops with AMD processors, effectively bringing to an end its exclusive partnership with Intel. The computer giant said it will add AMD microprocessors and graphics chipsets in up to 20 per cent of its Satellite laptop models.

It's a move that could bring significant savings for Toshiba which hopes to see parts-procurement costs drop by up to 10 per cent.

"AMD can help Toshiba create differentiation to penetrate new markets that will have a positive effect on our business and market position," said Toshiba VP Mark Simons.

But such a price-slashing deal may not look so rosy for AMD which is struggling to compete with arch-rival Intel after a first quarter hammering saw the firm swing to a $611m loss.

Toshiba is not the first to end an exclusive deal with Intel. Last year Dell made the decision to add AMD chips to its machines in the hope of cutting costs and offering consumers wider choice.

The firm said it expects to start shipping laptops with AMD chips to Europe and the US from July this year. ®

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