Saturday, July 12th 2008
Bloodbath for AMD at the Stock-Markets, Company Struggles to Survive
Sure, the graphics division brings some cheer for the company but seriously, to what extent is it helping the company alongside a marginally increased market-share with processors? Not much. AMD struggles to survive as stocks plummet below the $6 mark at NASDAQ index, which was priced at $15 /share only a year ago; this is the lowest value for the AMD stock since 2002.
AMD's survival is crucial for the entire computing industry as it keeps check on inflating prices by major players such as Intel and NVIDIA (who themselves are seeing bad days at the stock-markets these days). It has immense engineering potential to take on major players and force them to slash their prices. There are talks already doing rounds of CEO Hector Ruiz planning to quit.
Market forces and mal-informed consumerism are also to blame. A person chooses competitive brands over AMD products mainly because they're supplied and marketed better, sure Intel and NVIDIA do make better products in many categories but 'better' is a very relative value, how much better and for how much more (price) is something that keeps fluctuating, again fluctuations are mainly triggered by competition that AMD brings into the market. In other words, thank AMD for making NVIDIA sell GeForce 8800 GT for as low as $120 or better still, giving rise to a whole new SKU, the GeForce 9800 GTX+, with the '+' matching the red cross on first-aid kits.
Source:
Yahoo Finance
AMD's survival is crucial for the entire computing industry as it keeps check on inflating prices by major players such as Intel and NVIDIA (who themselves are seeing bad days at the stock-markets these days). It has immense engineering potential to take on major players and force them to slash their prices. There are talks already doing rounds of CEO Hector Ruiz planning to quit.
Market forces and mal-informed consumerism are also to blame. A person chooses competitive brands over AMD products mainly because they're supplied and marketed better, sure Intel and NVIDIA do make better products in many categories but 'better' is a very relative value, how much better and for how much more (price) is something that keeps fluctuating, again fluctuations are mainly triggered by competition that AMD brings into the market. In other words, thank AMD for making NVIDIA sell GeForce 8800 GT for as low as $120 or better still, giving rise to a whole new SKU, the GeForce 9800 GTX+, with the '+' matching the red cross on first-aid kits.
116 Comments on Bloodbath for AMD at the Stock-Markets, Company Struggles to Survive
Now, I'm one of the lucky people that bought AMD stock right before Phenom was released. AMD stock has been running low for quite some time since then. Sometimes with the stock market you have to stay in it for the long haul.
And the market is retarded. 5 dollars a share is waaaaay undervalued, but you gotta look at the base word of marketing....and you get the picture. It's all BS, just like so called market analysts that couldn't find their asses if they had the share value of google coming out in turds.
Bad things that AMD did was very f....g poor marketing, low incentives and failed to patent lot of its technologies (mainly 64 bit and integrated mem - AMD would have planted a bomb in Intel's a..).
Above all loads and loads of Bad mouth Intel farts floating in Tech stores. Those farts boasted that the Netburst was the best of best cpus and made the customers idiots. Tell me one sales guy who can exactly understand what your needs and give the right combination of power, functionality and savings? Hardly 1% sincere sales people out there. I myself got frustrated other day at Frys, when this high 50 year old guy is asking which PC would suit for general office use and internet browsing and this guy was selling him a Q6600 PC, ofcourse there is commisions, but that is the game, I do understand and it is sad.
It is just a bad phase for AMD (which is a smaller bold company challenging a giant now). It will come back very soon (IBM/Samsung or any other big player will help this company to stand on its own again).
Until then I will keep on buying only AMD CPUs.
I think its time to help AMD directly by buying their stocks. Should start a campaign for buying 10 shares each to 1 million people.
And that is exactly why their stock sucks right now...
Updated:
I found on the www that Intel can use AMD technology and AMD can use Intel technology. They agreed to that in the 70's.
AMD got their start in the CPU market by reverse engineering Intel's CPUs ages ago and selling clones of that architecture - the clones were selling so well that Intel finally made AMD an official manufacturer of their CPUs.
AMD developed the 64bit technology . . . any Intel CPU that supports 64b technology didn't come from Intels R&D, that came from AMD.
AMD also developed the first dual-core CPU, and also pushed for having true multi-core processors instead of Intel's method of just stitching together multiple cores on a single die.
and let's not even get started on their tech advancements in other markets . . .
Most of AMD's CPUs are competetive.
Yes I am fanboi, but I am sensible to understand my customer's need when I prepare PCs for them, not like you just blindly saying something.
2 weeks back I built a E6750 + asus based for my friend. He has many needs that PC needs to be satisfied and I recommended him that. If he had asked me to just build a media pc a X2 4800 based PC is more than enough.
In terms of gaming use AMD loses out these days.
However general tasks, I've actually noticed the AMD platforms are just a little bit quicker. Well, thats K8 versus Core 2.... I don't know how Phenom would fare however.
The larger processes AMD is using costs more to manufacture, because yields are lower. That is part of the reason they are losing their asses in the stock market. Their manufacturing tech is behind, making their margins much lower. K8 does not, in any way, perform better than Core2 in day to day use. If it did, you were comparing a really low end Core2, to a higher end AMD. IF anything, it's in gaming that you can't tell the difference. CPU makes little or no difference in 99% of modern games.
Yes, AMD's low atm is partially due to weak advertising... its one part which really is their achilles heel. Back in the K8 days I didn't see AMD even bother to advertise its products to a substantial extent, even though Intel CLEARLY was crapper. However, the consumer didn't know that. The average consumer didn't even know about the performance difference; how their low ends were faster than even intel's top end...
That is one example of why AMD is suffering at the moment...
ATi since the merger, well has just gone quiet in terms of advertising.
Funny how the actual company doesn't really matter when it comes to the financial standpoint :rolleyes: