AMD Taking on Intel

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Case Details:

Case Code : BSTA087
Case Length : 16 Pages
Period : 1969 - 2003
Organization : Intel / Advanced Micro Devices
Pub Date : 2004
Teaching Note :Not Available
Countries : Global
Industry : Semiconductors

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Introduction

For more than 30 years, Advanced Micro Devices (AMD) had been battling Intel, the leading manufacturer of microprocessors in the world for the top-spot in the semiconductor industry. In 2002, AMD still ranked a distant second in PC microprocessors with a market share of about 15%, far behind Intel's 82.8%¹. AMD had made inroads into Intel's market share only to see Intel strike back with steep price cuts and faster introduction of new models. AMD's new product, Opteron marked the company's ambitious foray into 64-bit computing.

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But Opteron also faced severe competition from Intel's Itanium 2. AMD realized competition with a rival like Intel with deep pockets was not going to be easy...

Excerpts >>

1] Mercury Research Estimates, EBN News, August 2002

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