Comments on: Chip prices fall at AMD

Bargains abound for certain AMD models, but the nature of the cuts suggests that a price war is not in the offing, an analyst says.

[Jonathan]

The X2's are still too expensive.

I'm looking at upgrading but those X2's are still freaking expensive. Wake me when the midrange chips fall below $300.

[Neo Con]

Also too slow

I wouldn't get on board with this first generation of dual-core processors anyway, even when the price goes down. They (both Intel & AMD) don't use their caches correctly, resulting in slower performance. The next generation of dual-core chips will properly share both caches, increasing the overall processing speed tremendously. Wait for those to come out, otherwise you're not getting much more performance for the increased price of the second processor core.

[baswwe]

Get a job that pays

If you can't afford it, you ain't making enough.

maybe get another job pumping gas.

[Jonathan]

The X2's are still too expensive.

I'm looking at upgrading but those X2's are still freaking expensive. Wake me when the midrange chips fall below $300.

[Neo Con]

Also too slow

I wouldn't get on board with this first generation of dual-core processors anyway, even when the price goes down. They (both Intel & AMD) don't use their caches correctly, resulting in slower performance. The next generation of dual-core chips will properly share both caches, increasing the overall processing speed tremendously. Wait for those to come out, otherwise you're not getting much more performance for the increased price of the second processor core.

[baswwe]

Get a job that pays

If you can't afford it, you ain't making enough.

maybe get another job pumping gas.

[IanrJ]

The coming price war

I think a very aggressive price was is about to break out between Intel and AMD through 2006. Why do I think this? Well AMD got a jump on Intel late 2004 and thru 2005 with a roll out of faster chips which use less power. Intel realised this and scrapped expected future launches to rejig their entire line-up, which unfortunately lost them some Sales in the interim period. The new lower power, high performance 65 nm cpus will be rolled out progressively through 2006. And a full 64 bit line-up will be launched to coincide with MS's Vista launch. Since AMD have publically declared "war" on Intel, the latter is now free to use quite extreme pricing measures w/o fear of being accused of "uncompetitive practises". i.e. AMD have made a made tactical error opening this door. So it seems to me that as the new Intel ranges are launched they WILL begin to underprice AMD's equivalent most aggressively. They (Intel) will need to regain lost market ground and perfomance, lower power untilization and excellent pricing is the ONLY way to do this and also to keep their OEM's happy. Why does one think Apple moved to Intel and not AMD? Surely because Intel assured them they would be totally competitive in 2006. Intel can afford such a price battle because the one thing they do best, is set up new fabs to produce the best yields asap. As both AMD and Intel ramp up to 65 nm the price and value/performance will be great for the consumers and the best fab manufacturer will win. My bet's on Intel to win back lost ground through 2006 and into 2007 as I don't think AMD's yields or margins will equal Intel's.

[IanrJ]

The coming price war

I think a very aggressive price was is about to break out between Intel and AMD through 2006. Why do I think this? Well AMD got a jump on Intel late 2004 and thru 2005 with a roll out of faster chips which use less power. Intel realised this and scrapped expected future launches to rejig their entire line-up, which unfortunately lost them some Sales in the interim period. The new lower power, high performance 65 nm cpus will be rolled out progressively through 2006. And a full 64 bit line-up will be launched to coincide with MS's Vista launch. Since AMD have publically declared "war" on Intel, the latter is now free to use quite extreme pricing measures w/o fear of being accused of "uncompetitive practises". i.e. AMD have made a made tactical error opening this door. So it seems to me that as the new Intel ranges are launched they WILL begin to underprice AMD's equivalent most aggressively. They (Intel) will need to regain lost market ground and perfomance, lower power untilization and excellent pricing is the ONLY way to do this and also to keep their OEM's happy. Why does one think Apple moved to Intel and not AMD? Surely because Intel assured them they would be totally competitive in 2006. Intel can afford such a price battle because the one thing they do best, is set up new fabs to produce the best yields asap. As both AMD and Intel ramp up to 65 nm the price and value/performance will be great for the consumers and the best fab manufacturer will win. My bet's on Intel to win back lost ground through 2006 and into 2007 as I don't think AMD's yields or margins will equal Intel's.