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Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?

To: NicoV who wrote (237524)	7/28/2007 12:50:52 PM
From: dougSF30	Read Replies (1) \| Respond to of 275872

Actually, if you look at the metric that really matters, revenue share, the figures look something like: Q406: ~18% Q107: ~13% Q207: ~14% So, a very small recovery, but much more like Q1 than Q4 and earlier. What really changed from Q1 to Q2 for AMD was that they traded units for ASPs, but still put together a ~$600M loss.

To: NicoV who wrote (237524)	7/28/2007 3:33:45 PM
From: wbmw	Read Replies (1) \| Respond to of 275872

Re: They way I see it, Q1 was the abnormal quarter, with sales falling abnormally. That was when AMD got hit with inventory problems. Q2 was when things started to get restored to normal. How else can you explain the growth in Q2? Not because AMD suddenly got more competitive with Intel and hence increased market share. But because Q1 was abnormally low. I see your point wrt Q1, but it was more than that. Q1 wasn't unseasonally low overall, it was just unseasonably low for AMD, due to their channel stuffing in Q4. Q2, on the other hand, saw unseasonably high growth overall, both for Intel and for AMD. Moreover, Intel's uncompetitiveness in the low end allowed AMD to win a lot of business there. Starting in June, Intel closed that gap with Celeron 400 series and Pentium 2000 series, both of which offer better perf/$ and perf/watt than AMD's parts. siliconinvestor.com This means that Q3 will have a different competitive landscape, and thus different forces driving revenues and market share, compared to Q2.