Advanced Micro's silicon cash cow

Article Abstract:

Advanced Micro Devices Inc (AMD) reports that it captured over 30 percent of the market for 386 microprocessors in the fourth qtr of 1991. This is a record quarterly revenue and the highest profit margin the company has experienced since 1984. The company developed a clone of Intel Corp's silicon microprocessor that sold more than $145 million and which now threatens the monopoly once owned by Intel in the semiconductor industry. The success of AMD comes after years of low profits and staggered losses. While some critics has suggested that company founder and CEO W. J. Sanders should leave the company because he spent money lavishly, his management has turned the company around and he has signed a contract that will keep him on through 1996. Sanders indicated that company layoffs and technological advancements helped earn the company more money in addition to the cloned chips success.

Microprocessor, CPUs (Central processing units), Microprocessors, Revenue, Market Analysis, Competition, Profit Margin, Profit Analysis

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Intel profits are strong for period and year

Article Abstract:

Intel Corp reported record revenues and earnings for 1991, with fourth qtr results exceeding analysts' best forecasts. Despite the recession and competition from Advanced Micro Devices, Intel's earnings were up 15 percent to $189 million or 90 cents a share in the 4th qtr and up from $164 million or 80 cents a share in 1990's 4th qtr. Intel's profits can be partially explained by high profit margins from the sales of the 486 microprocessor and the 386SL microprocessor. AMD also reported strong 4th qtr growth with high profits. The two rival companies can both succeed because Intel's chips primarily go into more advanced and higher-priced models while AMD's chips are used in lower-priced models. Intel plans to cut prices on some its older chips in the second quarter, in an anticipatory reaction to ADM's pricing.

Computer peripheral equipment, not elsewhere classified, Reports, Indiana, Financial Analysis Software, Financial Report, Fourth Quarter

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Intel net up while its rival, Advanced Micro, posts loss

Article Abstract:

Intel Corp reports 3rd qtr profits that are more than doubled, while Advanced Micro Devices reports a large loss. Intel's net income for the quarter is $171.9 million, or 83 cents a share, up from $72 million, or 38 cents a share, for the same period a year earlier. The company topped $1 billion in quarterly revenues for the first time, with revenues of $1.01 billion, up from $771 billion. Advanced Micro Devices suffered a loss of $17.8 million. Revenue was down 7.5 percent, to $254.2 million, from $274.8 million. Intel's favorable results reflect the success of the company's 80386 and 80486 microprocessors, which conform to a standard established by IBM.

Third Quarter

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