Dell CEO says no longer considers using AMD chips
Wed Feb 23, 2005 11:24 AM ET
PHOENIX, Feb 23 (Reuters) - Dell Inc. (DELL.O: Quote, Profile, Research) has renewed confidence in Intel Corp. (INTC.O: Quote, Profile, Research) as its sole supplier of microprocessor chips and is no longer seriously considering rival Advanced Micro Devices Inc. (AMD.N: Quote, Profile, Research) as an alternative supplier, Dell's chief executive said on Wednesday.
Speaking to investors at the Goldman Sachs Technology Symposium here, Dell CEO Kevin Rollins said that Dell, the world's largest personal computer maker, had been considering turning to AMD as a second source of chips that function as the brains of PCs.
"That's looking like 'No'," Rollins said of Dell's decision not to use AMD. "For a while it was looking like 'Yes.'"
Rollins said his company's customers and key Wall Street analysts had begun demanding that Dell start offering PCs based on AMD chips after missteps by Intel. Dell is alone among major PC makers in relying on Intel as its exclusive microprocessor provider.
"We believe that Intel has responded," Rollins said of how Intel had played catch up over the past year to match innovations introduced by rival AMD. "That is now beginning to put customers more at ease that they don't need to make a shift (to AMD)," he said. |
