Feeds

AMD loses cash less quickly

Is the bottom in sight?

The next step in data security

AMD's CEO Dirk Meyer has fired a shot at his Intel counterpart, Paul Otellini, who recently said that the PC market has hit rock bottom.

In a call on Tuesday revealing his company's 2009 first-quarter results, Meyer said: "I've heard some say we've hit bottom. I don't know how someone could say we've hit bottom in the current economic climate."

For the sake of AMD's investors and employees, let's hope that Otellini is more accurate than Meyer. AMD's net revenue was essentially unchanged from the previous heinous quarter - $1,177m (£802m) in Q1 2009 compared with $1,162 (£792m) in Q4 2008 - but down significantly from the $1,487m (£1,013m) during the same period last year.

There were bright spots to be found, however. Although the company is still losing money, it's losing it more slowly. The net loss for Q1 2009 was $414m (£282m), a vast improvement over the $1,437m loss in Q4 2008 (£979m).

But even the good news had a tinge of badness. For example, even though microprocessor sales were up on a unit basis, the average selling prices (ASPs) for those chips was down.

Meyer put the blame squarely on the enterprise market. "Stand back and look at it," Meyer said, "Our server business was down a little bit quarter-on-quarter, while both the desktop and notebook businesses were up quarter-on-quarter, which affects the overall ASP and moves it down."

On the plus side, Meyer noted that he believes that GPU sales "might see a spike" when Microsoft releases the DirectX 11-enhanced Windows 7 expected later this year. He also has high hopes for the upcoming Congo variant of AMD's Yukon platform, which he said will ship near the end of the current quarter.

But oh, those pesky enterprise customers. After noting that "the outlook is murky at best," Meyer admitted that "The enterprise side of the commercial market is clearly still weak. Wallets are closed."

Which echoes Otellini, who recently said that enterprise customers are "keeping their wallets shut."

And that's one analysis upon which Dirk and Paul have found common ground. ®

Security for virtualized datacentres

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Sony says year's losses will be FOUR TIMES DEEPER than thought
Losses of more than $2 BILLION loom over troubled Japanese corp
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Why Oracle CEO Larry Ellison had to go ... Except he hasn't
Silicon Valley's veteran seadog in piratical Putin impression
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
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.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.