Vince - Re:"when AMD was selling 486 Microprocessors..."
Your memory is off by one generation. When Intel switched from 386 to 486 production, AMD cleaned up all the remaining 386 business. They did this with faster speed (40 MHz) and static cache memory, enabling the processro to run at lower power and, essentially, zero clock speed when required to power down the system.
When AMD finally did get a working 486, after many false starts copying/uncopying Intel's 486 microcode, Intel had moved on to the Pentium and AMD was cleaning up what little 486 business remained. They came out with fast versions, no doubt, but the market for these was minimal.
The following excerpt is from AMD's 10K filing in March/April
of 1995 :
{===========================================================================}
In the second quarter of 1993, the Corporation began to offer its Am486/TM/
family of products. The Corporation began shipping Am486DX products in the
second quarter of 1993, and began volume shipment of its Am486SX products in
1994. The 486DX family of microprocessors accounted for approximately thirty-
seven percent (37%) of the Corporation's 1994 revenues. A significant portion
of the Corporation's total revenues, profits, and margins were attributable to
Am486 products. Prior to a settlement with Intel Corporation in January, 1995,
the Corporation's Am386 and Am486 products were the subject of microcode
litigations with Intel Corporation. (For more information see Item 3, Legal
Proceedings, Number 2.).
{==============================================================================}
As you probably already know, Intel began shipping the original
80486 in April, 1989 a full 4 (FOUR) YEARS BEFORE AMD began to ship
their copy.
In fact, Intel began shipping the first Pentium devices in
March/April 1993, almost paralleling AMD's 486 roll out.
By mid 1995, the 486 market was nearing death, as noted in the
following article:
{============================================================================================}
SAN FRANCISCO (Reuter) - Computer chip maker Advanced Micro Devices Inc.
projected weaker third-quarter results Monday, the latest victim of Intel
Corp.'s success in making its Pentium chip the standard for personal
computers.
The news sent Advanced Micro's stock down $1.75 to $31.125. Other chip
makers suffered too.
Intel is riding the wave of Microsoft Corp.'s Windows 95 operating
software, since users are upgrading to the most powerful machines to take
advantage of the new operating software.
Intel has cut prices dramatically for Pentium chips and as a result,
demand for the previous generation 486 chips has fallen dramatically.
Advanced Micro Devices blamed its shortfall ``entirely'' on flat unit
sales and ``sharply lower prices'' for its Am486 microprocessor.
But it is not alone. A number of companies are scrambling to adjust to
the new market, analysts say.
Cyrix Corp., which until this summer got just about all its revenues from
sales of 486 chips, decided to quit the business as fast as it can, its
senior vice president said last week.
``Pricing is brutal,'' Cyrix senior vice president Jim Chapman said last
week. He said inventory is building up all along the pipeline of chip makers,
circuit board customers and personal computer customers.
``It's a recipe for severe price declines,'' he said, adding Cyrix hopes
to be out of the market by October.
Analysts and traders said recent trouble experienced by specialty memory
chip makers such as Cypress Semiconductor Corp. and others can be traced to
the fall off in 486 demand.
Prices for 486 chips are less than half what they were as recently as
January, said analyst Charles Boucher of Hambrect & Quist.
``The 486 market is really declining much faster than I think
expectations early in the year would've suggested,'' he said. ``It was
precipitated to a large extent by Intel bringing a lot of Pentium motherboard
capacity into the market at very aggressive prices.''
Since Intel's Pentium chip first became available in PC systems in May of
1993, Intel has cut prices to less than a third of what they were at the
launch.
{=============================================================================}
On top of the meager sales of AMD's 486, AMD had to pay Intel
$58,000,000 for copying Intel's 486 microcode.
So, AMD made very little, if anything, off their 486 program.
Jerry may be sly, he may be old, and yes, he may be a dog.
Paul |
