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Posts: 1484
Joined: Wed Feb 09, 2005 7:37 am

Dell + AMD In 2006

Sat Jun 24, 2006 9:44 am

Hey all you AMD aficianados.
Just read this in the August 2006 issue of Maximum PC Magazine:

After 20-plus years of selling nothing but Intel processors in it's workstations, desktops, and laptops, Dell has finally broken free from Intel's shackles and announced it will begin selling AMD powered servers by the end of 2006. The announcement rocked the IT industry, and sent Intel's stock tumbling to a three year low. The deal will allow AMD to make major inroads into the lucrative server market. Could AMD-based desktops be far behind?

This is great news for AMD. To think that in the not so distant past, AMD was but a blip on the radar of the processor scene. Dell, being the world's largest PC maker, is indeed "catching the big fish" for AMD.

Considering that Intel will not go anywhere, anytime soon, this may be the ideal time to buy some Intel shares.

I will not go so far as to slam Intel for it's product, they are indeed a great company, but it seems that they were asleep at the switch while AMD snuck up behind them and left them in the dust!

My glass is neither 1/2 empty nor 1/2 full, rather, the glass itself is twice as big as it should be.
Posts: 2489
Joined: Thu Jul 14, 2005 7:51 am

RE: Dell + AMD In 2006

Sat Jun 24, 2006 10:17 am

This probably has more to do with the fact that HP and IBM have been whipping their ass on servers in general and particularly the higher end servers with the AMD processors. They've got quite a good reputation for the best price performance - even more so for memory intensive applications like VMWare.

It's possible that we'll see AMD processors on their laptops/desktops in the future but my understanding is that AMD are not currently able to provide a guarantee of enough product to satisfy Dell. HP however is doing very well with AMD across its product line.

For the next month or two, Intel is enjoying a temporary lead(or at least parity) with AMD with their newly released Xeons but AMD is about to strike back and it could be ugly. One of Intel's problems with the new processors is that they require fully buffered memory and this has raised the cost of DIMMs by 30-40%.

Due to differences in how AMD handles memory they will probably not need to go to these expensive DIMMs for another 12-18 months by which time the cost will have come down. In the meantime though this difference will strongly favor them when looking at total costs for a system using lots of memory.
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