AMD is making money even with bargain bin prices for its CPUs and fierce competition from Intel.
If you're judging by revenue results from the two major processors manufacturers, then it'd be safe to say that the processor market is on a steady incline. Not only has Intel seen an increase of revenue lately but so has AMD. AMD reported an increase of 18 percent
in third-quarter results as compared to the second-quarter.
However that wasn't enough to save it from the red as it still lost a whopping $396 million
, with a reported revenue of $1.63 billion and an operating loss of $226 million. The results also included a negative impact of $120 million due to the merger of ATI and AMD.
“We are encouraged by the progress we made in our third quarter financial results. We delivered a strong revenue increase, gained eight percentage points of gross margin and reduced our operating loss by more than half
,” said Robert Rivet, chief financial officer. “We sold a record number of microprocessors through our distribution channel and began revenue shipments of Quad-core AMD Opteron processors in the quarter
Mobile chip sales are up thanks primarily to OEM sales, but we're still
waiting on new desktop parts which may see AMD still in the red for a little while to come.
Should we be worried about AMD's continual downturn? How long can a company sustain such a trend until it's forced to cut back? Or perhaps as soon as Phenom and future CrossFire arrives it'll change the tides and bring AMD back into the black? Without a doubt it'll be bad for everyone (except Intel and Nvidia) if AMD changes as we know them. Let us know your thoughts in the forums