AMD Will Go Broke

In the light of new financial figures that have been presented by AMD, a new rumor has been going around the computer industries' ears. Whether or not AMD should be taken in as a privately owned company. Taking into account that their latest deals haven't exactly been very satisfying as of yet, this thought crossed my mind, there are a lot of very large pocketed people in this world, many of which are trying to enlarge those pockets to the fullest extent of the definition, and even becoming obese in this case won't hurt them.

And if a company such as AMD finds itself between a rock and a hard place, there may be benevolent people that will jump to the rescue and buy a large share of AMD, 51% to be exact will be more than sufficient for control over the company's shares. This case of “buying your friend when he is in debt” has been seen in many other cases, and companies have taken this path before. So AMD's best chance of survival is to maintain a low price strategy and keep “the sheep” under the rules of the same “Shepherd.”

I've talked about the initiative AMD had of bringing sub $100 dual core processors on the market, well, now that initiative has taken form and we are witnessing some pretty interesting prices. Starting with the 9th of April, AMD has been selling processors for lower prices. How low?... really low. On the Quad FX platform, the FX-74 models have taken a plunge from $999 a pair to $799 a pair, while the lower siblings FX-72 went from $799 to $599.

On the dual core stage, AMD Athlon 64 6000+ went from $464 to $261, 5600+ from $326 to $188, 5400+ from $267 to $178, 5000+ from $222 to $167, 4800+ from $217 to $136, 4400+ from $170 to $121, 4000+ from $144 to $104, 3800+ from $113 to $83 and 3600+ from $102 to $73. The single core AMD Athlon 64 series also suffered from the same changes taking the AMD Athlon 64 4000+ from $102 to $94, 3800+ from $93 to $79, 3500+ from $88 to $69, and 3200+ from $78 to $58. The Sempron series are the last affected by these price changes, the 3800+ went down from $108 to $69, 3600+ from $101 to $53, the 3400+ from $67 to $42, the 3200+ from $51 to $37 and the 3000+ from $41 to $31.