Tuesday, April 21, 2009

AMD's report: "Flesh wound!"

The title refers to Monthy Python's "Holy Grail", of course. I mean that AMD is pretty much in a terminal process, and the story giving the rounds is that AMD beat the expectations by losing "just" 66 cents per share, or 1/5 of the share value lost in a quarter...

Now, I must sort of apologize. I called repeatedly the multi-year delay in providing details for the "Asset light/smart" strategy mere bullshit; because we all knew the terms of the license prevented AMD from not manufacturing the vast majority of their chips. It turns out that it can be argued that secrecy was necessary in preparation to actually break the license. This is sort of an example of the terminal desperation AMD is in.

It may get away with it, though. It is not clear to me whether Intel prefers a dead AMD or an AMD in torpor.

Again, investing in AMD is crazy, it doesn't matter how, because AMD is the football everyone is kicking around according to their non-public interests.