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 Jun 07, 2005 - 10:30 AM - by Michael
* Cooltechzone on AMD's dilemma

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PC Games/Hardware/Microsoft
Cooltechzone's got commentary on the AMD dilemma, which might be charitably compared to the Red Queen's Race.

Basically, they're stuck - in order to compete and get OEM's on board, they need to find a way to produce a lot more chips.

The vicious cycle for AMD operates somewhat like this: AMD wants to expand ? AMD can?t expand due to limited revenue ? AMD proposes OEMs to offer PCs equipped with its chips ? OEMs decline due to lack of enough chips ? AMD is back to square one. Clearly, this is neither AMD?s nor the OEM?s fault. AMD wants to supply its chips, but OEMs need enough quantity to cover the millions of PCs they retail annually.

 

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