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VIRTUALISATION Intel spitting chips as Toshiba inks AMD deal
VIRTUALISATION Intel spitting chips as Toshiba inks AMD deal | Intel spitting chips as Toshiba inks AMD deal |
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| by Stephen Withers | |
| Wednesday, 30 May 2007 | |
  
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The company last used AMD chips around seven years ago. Since Toshiba is the fourth largest notebook manufacturer, the news will be a PR boost for AMD even if it is financially less significant than recent similar announcements from HP and Dell. Toshiba reportedly plans to extend the use of AMD chips to its midrange models. As much as one-fifth of its sales in the US and Europe could include the AMD parts, implying Intel could miss out on sales of over one million units per year. A million of anything is a lot, but the global production of Intel and AMD based PCs, servers and notebooks is expected to be around 260 million in 2007. During AMD's antitrust action against Intel, it alleged that "Toshiba received a very substantial payment from Intel in 2001 not to use AMD processors. Toshiba thereupon dropped AMD. Its executives agreed that Intel’s financial inducements amounted to 'cocaine,' but said they were hooked because reengaging with AMD would jeopardize Intel market development funds estimated to be worth $25-30 million per quarter."{moscomment} |
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