RESEARCH ALERT-Dell seen selling AMD-based computers
Tuesday June 29, 12:00 pm ET
SAN FRANCISCO, June 29 (Reuters) - Dell Inc. (NasdaqNM:DELL - News) plans to sell its first computers using chips from Advanced Micro Devices Inc. (NYSE:AMD - News), a financial analyst said on Tuesday.
"Based on our channel checks, AMD has finally been able to penetrate Dell with its Opteron processors targeting the server market," Tai Nguyen, an analyst with Susquehanna Financial Group, wrote in a note sent to clients.
"Our checks indicate that Dell is currently designing two dual-processor servers based on AMD's Opteron processors," he wrote.
Shares of AMD were up 39 cents, or 2.6 percent, to $15.68 in heavy volume, after rising more than 4 percent earlier in the day on the New York Stock Exchange (News - Websites) .
AMD spokesman Phil Hughes declined to comment on what he said was strictly rumor. "There's nothing at this point that we can comment on," Hughes said. "It would be something (the PC maker) would have to provide clarity on, too."
Dell spokesman Bruce Anderson declined to comment on the report, but pointed out that market speculation about Dell's use of AMD chips is not new. Dell currently builds all of its computers with Intel Corp. (NasdaqNM:INTC - News) microprocessors.
"We don't hide the fact that we are all Intel, but we have looked at AMD and continue to do so," Anderson said. "But at this point, I can't comment on the report and whether we plan to do anything or not based on Opteron." |
