AMD managed to increase its shares in the market, thanks to cheap computers with the A series Llano processors. Despite a good quarter the company made a loss, which the company once again can thank GlobalFoundries for.
The harddrive shortage affected the market negatively, but as it recovers things are improving for both AMD and Intel in the PC segment. AMD increased its shares in x86 from 18.2 procent in Q4 2011, to 19.1 in Q1 2012.
AMD’s mobile platforms are a hit in retail
It was the notebook that drove the boost, wgere the majority have the A series processors with integrated graphics to thank. These is just a matter of weeks before Trinity and Brazos 2.0 will launch, and we expect both to arrive about the same time as Intel’s dual-core Ivy Bridge processors.
Even though AMD had a good quarter it reported a loss, but it wasn not due to any errors in its operation. The revenue for Q1 was $1.59 billion, and resulted in a loss of $590 million. The reson is largely due to GlobalFoundries, where it has decided to pull out of an exclusivity agreement with the company. The agreement was that AMD would make all APUs at 28 nanometer with GlobalFoundries. The new board with Rory Read in the lead thinks AMD needs to spread the manufacturing across multiple actors, after the problem filled start at GlobalFoundries with last year’s 32 nanometer technology.
Besides AMD giving its last shares of GlobalFoundries at 8.8 percent, AMD has to pay a large sum to pull out of the exclusivity agreement; $703 milllion was paid this quarter, which was the reason for the loss. AMD owe GlobalFoundries another $275 million, but as soon as the remaining sum is paid AMD will be free to work with any manufacturing partner.
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