AMD Cuts Approximately 2000 Employees

AMD Cuts Approximately 2000 Employees - (Mark Smith)

SUNNYVALE, CA – November 14, 2002 --AMD (NYSE: AMD) today announced that it will reduce its global work force by approximately 2,000 positions, or approximately 15 percent, by the end of the second quarter of 2003. Today’s announcement is part of the company’s ongoing strategy to reduce its breakeven point and reduce expenses by $350 million in 2003. Approximately 1,000 affected employees were notified today. As previously announced, the company will take a restructuring charge in the fourth quarter of several hundred million dollars.

Today’s reduction in work force was implemented across AMD operations in the United States, Europe and Asia.

“Our success is predicated upon a sound financial base,” said AMD President and CEO Hector Ruiz. “As part of our ongoing strategy, we are taking decisive measures to reduce operating and capital expenditures. One of those measures is a reduction in work force. While painful and unfortunate, today’s action will help to position AMD so that we can take full advantage of the eventual market recovery. Over the next 180 days, we are unleashing a number of intensely competitive products and solutions to the marketplace that will enable us to compete in segments of the market where we have not yet been before. In essence, we are confident that we are taking the steps needed to solidify our financial position while extending our competitive reach across broad segments of the market.”

No comment … !!
It looks that the AMD sales does not work well , 30% down this year …

That sucks. More jobcuts. When is the economy going to recover /me wonders .

Like I said many times before: AMD is having a bad time. Soms time ago Intel wasn’t doing that well (faster P3’s had to be called back to the factories, P4 performance really sucked) and now they catched up, because they “dumped” the old design and improved the new model… So now almost the end has come for the current XP series (XP-C will hit the market very soon) and the new one isn’t available yet…

I guess that in some time they will be catching up again… then Intel has something to catch up to… they will do so… then AMD will have to catch up with Intel again etc etc…

For us costumers, this is good: it keeps the hardware developers awake and lowers the prices. There’s just one bad thing about it: Intel got quite some more funds than AMD does… but I guess AMD will be alright, since they have survived for about 30 years under less good circumstances!

2000 of people is one very large number , i think that something is going very wrong in the AMD camp .

What you would think if the brand was not AMD but the INTEL !!

amd’s mismanaged.

i thought the old p4’s were designed so that the p3’s would be faster, up until a certain clock, but that the p4 was their ‘forward thinking’ model. at least, thats how i read the articles i saw back in the day…where 1 ghz was screaming.

I agree that AMD’s management was wrong in the big decisions. AMD has been too content with its Athlon’s success while Athlon was much less scalable than its competition Inte’s Pentium 4.

I still own five (not sure) Thunderbird-core AMD Socket A processors at home, all bought in 2001. AMD’s marketshare in South Korea dropped from 30-40 percent early this year to around 10 percent now.

According to Impress reports, there will be not just dual-threading but also 16-simultaneous-threading (with four cores on the same die) in the future Pentium 4. That is 64 threads at once in a 4-way P4 machine. And I can recall some people even saying only fools will buy P4 and the so-called “power users” buy only Athlon.

And I can recall some people even saying only fools will buy P4 and the so-called “power users” buy only Athlon.

Heh it looks that i will keep my 1.4G celery for a life time :bigsmile:
It out performs from the P4 2G … :smiley: