| "Bad news from AMD yesterday - the company posted a staggering quarterly loss. Has AMD busted itself by trying to beat Intel rather than concentrating on developing new exciting products?" "AMD's price war with Intel has taken a toll on the company. Margins are down dramatically, falling to 31 percent from 40 percent in the previous " "Hector Ruiz, AMD's Chief Executive, isn't happy and told analysts that "We're not happy with having to miss the damn numbers."" " quarter and nose-diving from 59 percent a year ago. Despite being the #2 player in the processor industry, AMD has seen a quarterly profit it made a year ago of $184.5 million eroded down to a loss of $611 million (in share terms this works out at a loss of $1.11 per share this quarter against a profit of 38 cents a year ago). " "AMD's failure is down to one thing and one thing alone. It made enthusiastic and very generous price cuts on products that couldn't hold their own against newer, faster and more efficient CPUs by Intel. To be honest, even with the price cuts, I've still considered AMD's products to be overpriced. And instead of investing R&D in better desktop processors, AMD made bad choices and instead tried to appeal to high end enthusiast markets with the Quad FX, which would never amount to anything more than low volume sales. " "Hector Ruiz, AMD's Chief Executive, isn't happy and told analysts that "We're not happy with having to miss the damn numbers." Other executives used words and phrases such as "unacceptable," "a perfect storm," "a terrible start" and "a major setback."" "the company does have a cash reserve of $1.2 billion and talk of financing did boost share prices despite the bad news. Chief Financial Officer Robert Rivet said that he was comfortable with the company's cash reserve and wouldn't be concerned until this was down to about $600 million. At the rate AMD are currently losing money, that might not be too long." "The company's Athlon 64 X2 dual-core range is just over the hill, it's a little dot on the horizon, and the lackluster 6000+ does nothing but underline that" "To turn the company around AMD needs to go back to basics and start making waves again in the processor market. The company's Athlon 64 X2
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