AMD Attack the Chinese Market

AMD built in Beijing, “the second world center”, Intel launched this month, 12-inch factory in Dalian

Had a bad day, IT industry in China, multinational giants go out into the run.

Took one and a half Ke Fulin, chairman of the global processor company AMD (Bruce Claflin) appeared in Beijing, the company cast a strategic pawn in the local.

Intel CEO Paul Otellini will visit China this month, announced plans to invest 2.5 billion to build two more 12-inch plant officially put into operation in Dalian.

AMD said it would support the U.S. in Beijing to create a headquarters “AMD second global hub.” The next few years, the center will have some of the functions of global governance, to promote AMD’s global business operations and information technology in Beijing. But they did not disclose the specific amount of investment involved in the project.

Kefu Lin said that this was the first time AMD in the countries and regions outside the United States to establish a global operations center and management center, the company will increase investment in the Chinese market, especially in IT industry, to strengthen cooperation with Beijing. For example, do not miss the Beijing triple play, supercomputing centers and hot things and other projects.

Beijing, a semiconductor consulting said, this so-called center, is that integration of AMD’s technology and products sold in China, the program fills. Because Intel and other IT giants relative, AMD in the past emphasis on selling specific products, and the present large single market, mainly in industry, especially in servers and infrastructure.

AMD at the moment to strengthen China’s strategic, operational risk with an obvious intention to spread the world. It did not really out of the losses in the previous quarter loss of $ 40,000,000 to continue. Also not optimistic about the third quarter, on the National Day before the profit warning it issued the report, due to weaker than expected demand, particularly in Western Europe and North America, demand for notebook computers poor performance in the third quarter revenue to decline 1% qoq to 4%. Over the past few years, AMD has been rapid growth of business in China.

In fact, since the end of July, AMD’s stock has fallen nearly 22%, many investment institutions have lowered their profit expectations, they believe, in addition to macroeconomic factors, AMD laptops, Intel’s server business and the gap remains huge, and are missing tablet PCs and other mobile network terminal opportunities.

AMD CEO Dirk Meyer said that the short term, will not enter the mobile Internet market, the company will continue to focus primarily on PC and server markets expand further consideration.

Up to now, AMD only in the desktop, Intel graphics card and other areas to compete, notebook and server operations are only about one-tenth of opponents.

However, when last year the two sides reached a settlement after years of litigation, AMD began to disintegrate the Intel world, especially the cooperation of the Chinese market camp. At present, with the Lenovo brand manufacturers to establish cooperation in the field notebook.

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