14 DAY TRIAL // Even though new product launches were supposed to spur sales and lead to better revenues, it seems that demand has not favored Advanced Micro Devices, which has apparently just downward adjusted its revenue expectations for Q3.
AMD has released a significant number of new products over the past few months, product launches that should have clicked with the back-to-school season and support the rate of sales.
The company revealed multiple CPUs, form the six-core one during the fist half of 2010 to the more recent Athlon and Phenom parts.
Unfortunately, even the novelty factor was not enough, or is not thought to have been enough, for revenues to at least stay on the same level as those during Q2.
Initially, Advanced Micro Devices expected its total sales for the rapidly nearing quarter to be about the same as those during the April-June period, $1.65 billion to be exact.
Unfortunately, a recent statement from the CPU and GPU maker reveals that the current outlook is that Q3 sales will turn out to be between 1% and 4% weaker.
The main reasons cited for this in the succinct press announcement was low demand in both Western Europe and North America.
“AMD today announced that it expects revenue for the quarter ending September 25, 2010 to be in the range of down one to four percent as compared to revenue of $1.65 billion for the quarter ended June 26, 2010,” the announcement states.
“The sequential decrease is due to weaker than expected demand, particularly in the consumer notebook market in Western Europe and North America,” the release added.
This new development is quite similar to the way Intel itself, AMD's long-time rival, lowered its Q3 expectation in late August. What remains to be seen is just what figures the two companies post once the ongoing quarter finally ends next week.