AMD headlines on CNET front page :o) Advanced Micro Rises After Analyst Says Dell
Talks Heating Up
4/6/00 7:34:00 AM
Source: Bloomberg News
Sunnyvale, California, April 6 (Bloomberg) -- Advanced Micro Devices Inc. shares rose as
much as 8.6 percent after an analyst said the company's discussions to sell
personal-computer chips to Dell Computer Corp. are 'heating up.'
Advanced Micro rose 2 7/8 to 71 1/4 in midmorning trading after touching 74 1/4 earlier.
The shares have more than quadrupled in the past year. Dell rose 2 17/64 to 56 3/16.
Jonathan Joseph of Salomon Smith Barney said in a report that Dell and Advanced Micro
are in 'serious supply discussions.' Dell, the biggest seller of PCs in the U.S., now buys
chips from Intel Corp., the world's No. 1 semiconductor maker and Advanced Micro's
biggest rival. Advanced Micro would be a second supplier, Joseph said.
'We're still continuing to look at the products,' Dell Vice Chairman Kevin Rollins said.
'We continue to talk.'
Advanced Micro needs to persuade Round Rock, Texas-based Dell that it can meet the
PC maker's high-volume production demands, Rollins said.
'There's still problems with the availability of the products,' he said.
The talks help confirm the strength of Advanced Micro's product line, Joseph said. He
now expects Advanced Micro shares to reach 100, up from his earlier forecast of 75.
Last week, Sunnyvale, California-based Advanced Micro said it will sell about $300
million in flash-memory gear to Alcatel SA. |
