It turns out that AMD's first 45 nanometre processors won't be that far behind Intel's Penryn products based on the new process technology.

Douglas Grose, the chip maker's new manufacturing chief has said that AMD has already produced test chips using next-generation production techniques and is set to produce products based on the new technology in the second quarter of 2008.

Typically, AMD has been some way behind Intel in the production technology stakes, but the world's number two chip manufacturer could be hot on the heels of its arch rival if it launches its own 45nm processors on time.

In an interview with Reuters, Grose stated that "Sixty-five [nanometres] is kind of old hat. The focus is on 45.

"We'll be producing early products probably in Q2 of 2008, with full production in the second half."

Intel is scheduled to launch its first 45 nanometre Penryn processors before the end of the year, meaning that AMD isn't as far behind as it was when the two companies made the transition to 65 nanometres. It took AMD almost twelve months longer than Intel to launch its first 65 nanometre processors.

Grose also added that the majority of AMD's processors will be transitioned over to 65 nanometres by the second quarter of next year, significantly reducing its manufacturing costs.

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