AMD plans to reduce workforce by 10%

[Nyte]

In a disappointing but agreed upon move, AMD has decided to cut 10% of its workforce due to lower than expected first quarter financial results. The majority of business segments (mainly CPU) did not meet financial targets and in most cases lost money (again, mainly CPU). The cuts will hit all groups (including the ones that generated profit like the graphics division, albeit at a smaller scale).

AMD currently employs 16 000 in its workforce; a 10% cut will mean approximately 1600 people will be relieved. The cuts are expected to begin mid-April and finish by the end of the 3rd quarter of 2008.

View at TechPowerUp Main Site

 

[beyond_amusia]

=( Poor AMD... If only they'd advertise as much as Intel does.

 

[Solaris17]

i wish they would...i have never seen an amd commerical...they should also go brand crazy and pay devs to put a cool into on their games. they would lose money for shure..because advertising isnt cheap..but they would gain it back and than some...my gram when buying a computer for my sis this lasy december said hey David this computer an a A...M...D TuRiOn is that any good..this one has an intel....i was like

 

[beyond_amusia]

i wish they would...i have never seen an amd commerical...they should also go brand crazy and pay devs to put a cool into on their games. they would lose money for shure..because advertising isnt cheap..but they would gain it back and than some...my gram when buying a computer for my sis this lasy december said hey David this computer an a A...M...D TuRiOn is that any good..this one has an intel....i was like

Yup.. Imagine if the major games did what they do for nVidia and Creative and Intel people would be like 'oh! I HAVE to have AMD to play this game!'

 

[PVTCaboose1337]

Back in the 939 FX days they did advertise regularly in WIRED magazine and such. Since then not so much... AMD look like it's going downhill... but not before I grab a 9850.

 

[erocker]

My heart goes out to the families of those who lost thier jobs.

 

[OzzmanFloyd120]

Sadly it's going to raise cost of AMD products and push consumers who are brand loyal into having to weigh out price over loalty. I know it's a dumb argument, but I'm one of those loyal consumers.
I think you guys are right about the ads though, I think the only place I've ever seen an AMD ad was at a hockey game, painted into the ice.

 

[Solaris17]

My heart goes out to the families of those who lost thier jobs.

seriously hey hun i just lost 80K+ a year lets play meds over food.

 

[WarEagleAU]

Kind of sucks. I hope they take a hard look at the situation, and decide some form of TV advertising, not just print and online, will take shape. Get the word out. Hell Intel doesnt even really have to advertise anymore, yet they still do occasionally. Aside from PC magz (like Maximum PC, CPU magazine, etc) there isnt any advertising.

Also, if the graphics division is making the money, itd make sense to float them right now. Turn some attention to processors and get on the ball AMD. I love you, but shit you are killing me here.

 

[suraswami]

Its not only TV commercials but effective marketing to big companies and government to use AMD products. Last time AMD did effective marketing in India and sold over 200,000 Athlon XP based PCs (partnered with Indian pc manufacturers) to Govt. of India and heck they still run fine there. I would expect such kind of marketing from those MF marketing executives who is sitting in their office and scratching their balls.

 

[eidairaman1]

my machine still plays well

 

[Psychoholic]

Its not just AMD, everytime i turn on the news i see where X Company is laying off 10-20% of its workforce.. Just last week Dell laid off 3000ppl. Its the economy.. it stinks right now.

 

[dccool879]

AMD has had sweet advertisment!!

 

[CrAsHnBuRnXp]

The first and only AMD commercial I have ever seen was when they first introduced the A64 line.

 

[ShadowFold]

I feel like this is my fault for getting intel ive always used AMD.

 

[jocksteeluk]

If Only AMD hadn't purchased ATI they wouldn't be in this pickle.

 

[imperialreign]

I still think a great market for AMD to start plastering it's name is the computer animated movies, especially considering everyone's move towards HD at home as well - most companies that are developing these movies have admitted to using AMD/ATI hardware . . . AMD/ATI could get a 5 second logo clip right before the intro credits - much like nVidia has done with their TWIMTBP campaign. Considering the visual quality of these movies has continued to advance, and are quite remarkable nowadays, people will see that logo and say "Hey!! I want the best image quality and that's the product I want for my stuff at home!" - it'd be golden for AMD/ATI.

The more people see the AMD + ATI logos, the more people will buy the hardware. TBH, I feel a lot of the times nowadays people are purchasing hardware based more on whose logos they've seen more often.

 

[a111087]

The more people see the AMD + ATI logos, the more people will buy the hardware. TBH, I feel a lot of the times nowadays people are purchasing hardware based more on whose logos they've seen more often.

I agree and lots of people are noobs in PCs and thats the only way they make decisions..

 

[blkhogan]

Its all your fault Shadow!! Bad Shadow, bad.

Seriously, I feel for the families of the laidoff workers. It has always been AMD's point not to spend millions on advertizing, it is a way to keep overhead costs down in turn keeping product prices down.

-Hogan

 

[DanishDevil]

AMD has had sweet advertisment!!

http://cache.viewimages.com/xc/7135...88CE895E095AAC9633181A6E494D6A40A659CEC4C8CB6

It took me a full minute to find the AMD logo in that picture...

Yes, its all your fault. I hope you are proud of yourself, look at what you did. Bad Crash....bad bad.

Seriously, I feel for the families of the laidoff workers. It has always been AMD's point not to spend millions on advertizing, it is a way to keep overhead costs down in turn keeping product prices down.

-Hogan

You quoted the wrong guy...

I feel like this is my fault for getting intel ive always used AMD.

It's all your fault.

-----------------------------

It sucks to see this right when they're releasing their B3 Phenoms. This reminds me of when Kyle called the workers at the burger joint "you f*cking goobacks!" and his mom and dad come up behind him "Stan Marsh!"

And Kyle goes as he realizes that AMD may be in trouble "Ah...ah....AAAAAAWWWWWWW!"

 

[blkhogan]

LOL I caught that.... Long day at work today.

 

[Solaris17]

If Only AMD hadn't purchased ATI they wouldn't be in this pickle.

if i tremember correctly amd bought ati so ati would float them cause amd was going bankrupt.

 

[suraswami]

It took me a full minute to find the AMD logo in that picture...



You quoted the wrong guy...



It's all your fault.

-----------------------------

It sucks to see this right when they're releasing their B3 Phenoms. This reminds me of when Kyle called the workers at the burger joint "you f*cking goobacks!" and his mom and dad come up behind him "Stan Marsh!"

And Kyle goes as he realizes that AMD may be in trouble "Ah...ah....AAAAAAWWWWWWW!"

Suddenly shadow is in the spotlight. Good marketing there all he he.

There was no need for another PC. Just for the heck of it to support AMD I built another one for test purposes (infact from last November to now this is the third PC to support them). I am not going to spend anymore until they come back up. May be I should buy few of their shares for the money but it won't be fun overclocking!!

 

[btarunr]

AMD, you're doing it wrong.

By cutting workforce you're effectively cutting output capacity. So to recoup losses and get back on track you need output.

 

[devguy]

If Only AMD hadn't purchased ATI they wouldn't be in this pickle.

IMHO, if they hadn't bought ATI, they might not be around today. Most people aren't aware that before the merger, AMD chipsets blowed. They bought ATI not just because of their graphics division, but also because of their chipset division. Just look at the AMD 690/790/780 chipsets. These have really done well for AMD.

As for their processor division, it is clearly what is dragging down everything else. Hopefully OEMs with AMD Tollimans in their machines appeal to the average Joe who may believe that since 3 cores are more than 2 cores, that a Core 2 duo at 2.4 will get dominated by a Phenom x3 at 2.2. At some point, though, when I upgrade from my Brisbane, I hope to get a B3 Phenom x3.