A.M.D. to Split Into Two Operations

[yamawho]

Advanced Micro Devices said Tuesday that it would split into two companies — one focused on designing microprocessors and the other on the costly business of manufacturing them — in a drastic effort to maintain its position as the only real rival to Intel.

In addition, the company said two Abu Dhabi investment firms would inject at least $6 billion into the two firms, mostly to finance a new chip factory that A.M.D. planned to build near Albany, N.Y., and to upgrade one of the company’s existing plants in Dresden, Germany.

http://www.nytimes.com/2008/10/07/te...=1&oref=slogin

[probationer]

Looks like AMD is finally showing the scars of a long war with Intel.

Hopefully this split can allow them to get back into the game, competition is a good thing (even if I am an Intel fanboy).

[CMetaphor]

Competition is a very good thing. Without it, there will be no innovation or technological improvements at all, meaning we'd spend the rest of out lives spending money on minor die-shrinks with nothing really new coming out. With competition, companies like AMD/VIA (although much, much smaller than Intel) have to create new technologies and innovative products that will reshape the whole market in order to "stay in the game". This is why I, for one, Always root for the "underdog" companies like AMD/VIA so that they hopefully continue and make better products for all of us!

[Dr_BenD_over]

Competition is indeed a good thing. If it wasn't for the A64, we'd still be using crappy P4's

[Babrbarossa]

Mark my words- within a year of this, one of those two parts will be snapped up by someone like IBM with whom they have a R&D pact

[SKYMTL]

IMO, this is an absolutely brilliant move. There are plenty of my industry sources who are applauding this move since it is the most logical step to making AMD profitable again.

[belgolas]

Originally Posted by SKYMTL

IMO, this is an absolutely brilliant move. There are plenty of my industry sources who are applauding this move since it is the most logical step to making AMD profitable again.

I hope so. I wouldn't mind building my first AMD machine if it beat Intel.

Competition is the only thing that makes PC gaming some what affordable.

[SKYMTL]

From the Press Release:

AMD Will:

Have an exclusive supply agreement with The Foundry Company, with limited exceptions, to manufacture AMD processors and to manufacture, where competitive, certain percentages of other AMD semiconductor products.

Now THAT is interesting. So TFC already has a huge client to get them started and the facilities which were sitting idle can now be used for additional clients. In addition, ATI could possibly move their own manufacturing away from TSMC into facilities owned and operated by its parent company. On the other hand, I don't think any of the foundries are geared for sub-45nm manufacturing.