Dual Processors Solutions.
I think that one solution to the "low demand" problem that AMD is facing is to start pushing dual processor solutions (when they become available), as a standard high-end and mid-high-end consumer and small business solutions (or maybe even as a standard "add-second-processor" option across the board, right along with "add-another-128MB-memory" and "double-harddrive-to-60GB" options).
This will result in the following (IMHO):
1. Expand the available market for AMD processors.
2. Marginalize the dual processor workstation business of Intel.
3. Provide something "new" to the consumer, maybe getting them excited about buying computers again.
4. Provide an excellent performance solution, specially one where it is needed- video encoding, 3D graphics generation (3Dstudio max), Photoshop filters, web servers etc.
There is no reason that the additional cost of a dual processor infrastructure should exceed $50 (say $10 for the chipset and $40 for the motherboard, fan etc.).
Intel has long milked the dual processor market as an expensive "business market only" solution, charging more for the 2P processors and chipsets. They had an incentive to do so. Additionally the additional cost of a "traditional" Intel priced processor would exceed $300.
With a 1Ghz AMD processor priced to OEM's close to $100 (IMO), a dual processor computer can be put together for an additional $150 (+ OS).
I think that this will provide a tremendous amount of "buzz" and a meaningful performance boost. I think that they should also push dual Duron systems. Think about it, another $100 will get you a dual $700MHz Duron system that will provide close to %75-%80 more performance (just a guess) in the relevant apps (which need it most).
There is no reason that AMD need approach the dual market in the traditional sense, talking about a workstation market. I think that breaking into the Intel strong hold will be a very slow and tedious process. A case in point being the cancellation of the large cache Mustangs for lack of demand.
This is a no-loose situation for AMD. If it succeeds, it will put a tremendous amount of pressure on Intel. There is no way that Intel will push a dual Foster in the consumer space for another $150 over a single solution.
I think the only way AMD can really succeed is to try to change the rules of the game. It's really sad that it has taken AMD so long to enable a dual solution. I think if they had looked at it as a high end consumer solution rather than a "workstation" solution, then there would have been an urgency to get it out.
Rembember the fight between upstart Nividia and the existing giant 3DFX, regarding the need for 32bit rendering in graphic chipsets. 3DFX always maintained that 32bit was not required. Nividia said 32bit was the standard of the future. For those that do not follow the graphics market, 3DFX is no longer a company.
The top executives at AMD have been there for too long. They think in terms of the "standard" PC market. The "traditional" PC market in developed countries is close to being saturated- at least for the higher speed high margin products.
Time for some new thinking.
JMHO
TG |
