Monday, April 30th 2007
AMD’s debt piling up
Chip maker AMD is struggling financially at present, largely due to the $5.4 billion acquisition of ATI last year. The company had already reported a net loss of $611 million for the quarter ending March 31st, but it has now been forced to raise finance by offering Convertible Senior Notes to investors. These differ from stocks because AMD will have to pay back the money it has raised once its stocks hit a price of $42.12 (the current price is at $14) which is essentially plunging the firm further into debt. Analysts are now worried that AMD could run out of cash by the forth quarter of this year if it doesn't borrow more money, with an estimated figure of just $1.1 billion in the bank. Meanwhile, AMD's closest rival Intel is in it's strongest market position since 2005, with profits of $1.6 billion in the first quarter of 2007. AMD will be banking on the new Barcelona core and the R600 series of graphics cards to help it back onto its feet.
Source:
DailyTech
94 Comments on AMD’s debt piling up
Everybody knows I don't like AMD.
just because your eather to stupid or inept to build/configuar a proper amd system dosnt mean its amd's fault.......
and if amd dies, i hope you like spending 300 for the cheapist intel cpu, then waiting years for any kinda of real advancment in cpu tech.
we need BOTH companys to keep things from getting stagnant, if amd died....well intel would go back to assraping the consumer like they did when they where top dog b4 the k7 came out.....u know when a p3 333 was 400bucks, the board was 175-275, ah but you probbly liked those days.......HAHA
oh and dont blame AMD for your having a shitty pentium-d, its not their fault your cpu only gets a d avrage :P
try and understand this, the reasion dell and the like didnt consider amd wasnt just capacity, it was also that OEM's like to buy a complete packege, chipset and cpu from the same company, it may sound silly but its fact, amd needed to buy ati to get a decent up to date chipset in house to make dell,gateway and the rest take them seirously.
sure they will hurt for it for a while, but not as long as you think, because alot of their debt was also from the new fabs they built to produce more chips(again to help get dell and the like to take them seiously).
"you have to spend money to make money" for intel thats easy they got an over abundance of $,they also have alwase had their own in house chipsets, thus they didnt need to buy another company to get back in the game(server amd chipsets dontcount they are not desktop grade/level sets).
amd wont die, and intel wont try and kill them, at this point intels back on top in the high end enthusist market, where amd was for the past few years when intel was sticking with the crappy nutburst cores *gags*
intel has more research $ but amd has alwase been better at making suprising products for their price, remmber the k5, k6, k6-2, for their price they where great values, and where steller for buisness apps compared to intel(faster), and the k6-2 was faster in games with 3dnow support, the k7 stunned everybody, i mean honestly it knocked intel for a loop and they spent years trying to recover from the k7 and k8, intel made how many diffrent sockets and chips in the 5 years!!!!!!(yes YEARS) amd used socketA?, then k8, well it only got 3-4 years, but they where good years :)
now that intels back on top alot of you seem to think that they are going to crush amd, and thus push this hysteria that amds dieing because they dont have the top enthusist chips anymore....
but what will the same people be saying if/when amd brings out a better chip then intel?
or a better chip then nvidia?
everybody need to chill out and realise that amd isnt in this for the short run, they alwase look 5 steps ahead even if they dont have the money that intel does honestly i think that forces them to be smarter insted of just using market share/force and bruit force to get what they want, look at the p4 days, intel kept pooring $ into researching how to get higher clocks out of the nutburst cores, finnely they realised they couldnt do it and moved over, now compare that with amd, they havent ever dont that in my exp, each of their chips tends to be an evolution on the earlyer ones, the k6 went to the k6-2 then k6-3, then amd put out the k7 and its many variants, then the k8, the k8 being VERY much like the k7 but with updated fetures like 64bit and IMC.
and the ATI side, their biggist problem in the past was their driver support, guess what, that was taken care of, and with AMD owning them its gotten even better, the smaller driver packs are down to under 10mb( i hate CCC so i use ATT)
the companys are not alike in how they do buisness or in how they manage projects, intels getter better at thinking smart, but still, how many years did it take them to adapt? to damn many if you ask me.......sure the k10 is late coming out compared to the c2d, but again, so what, i and most other smart users would rather have a product thats well designed and ready for market then something that was just rushed out to compete.
intel has rushed alot of chips to market(pres-hott anybody?)
in my exp amd hasnt dont that, they have been pushing the clocks on current gen chips to ring the last little bit out of them that they can, but thats to be expected, and when k10 comes out, well i fully expect it to at the very least compete 1:1 with intel clock for clock, then intel will put out something, amd will put out a new steping, intel will put out a new chipset and core(oh boy another forced mobo upgrade), amd will put out a new steping/core, so on and so forth.
the only diffrance i invision being that things will stay closer then they where with p4, and that with amd you wont be doing so many forced board upgrades :)
OPINION
and you flame me for it. I don't have a go at you for saying what you think, but keep your nasty comments to yourself you fucking faggot.
By the way, learn to spell :D
Are you so sad you get off on mario porn?
and hey your the one whos blaming amd for your own suck factor setting up/buying systems, i alwase laugh when people tell storys about how their amd system they got sucked but when they list the parts they got the parts sucked, then they list the stuff they got for intel and they spend 2x as much to get them(they bought higher end stuff)
hey but just think cash, your cpu is like our pres, it gets the same grades :P
Seriously...take some spelling classes.
P.S. I don't care about my freakin' hardware to grade it or fight about it, I'm not a geek like you. I play games, that's it.
Have fun with your Mario porn :D
....\..............(
Call me a n00b, you call him a n00b. And the fact is, he's not. He knows what he's doing, he's a good bloke.
Please stop the childish fighting. If you need to insult each other do it in private.
note, a p-d at 4gz is ruffly equil to a 2.6gz amd chip, so pretty much any x2 can stomp your p-d at 2gz bullshit :)
oh btw guys check this out, the oh so mature casheti has spamed my msn with file sends, over 800 total( i closed it 2x, then got bord lol, hes such a noob!!! )
despret attempt by a child to get revenge for pointing out that his hardware sucks :P
aint he mature ROFL