AMD GPU Division loses 7 Million in Q2

[ikachu]

http://blogs.barrons.com/techtrader...ia-rebounds-amd-gpu-worries/?mod=yahoobarrons

The title of the article is a little misleading, but anyway:

On last night’s conference call following better than expected Q2 results, AMD’s head of products, Rick Bergman, commented that in the workstation category, “we just hit record revenue and record unit shipments last quarter, and we can continue to grow that part of the business. In addition, there is with the 28 nanometer product coming, that is a great opportunity to grab share again, just like we lead the industry with DX11, and you saw what that did to our revenue. There is another opportunity coming up again here shortly.”

 

[GodisanAtheist]

Do we have Nvidia's quarterly earnings report?

 

[OCGuy]

What? It's always 60/40 besides a few ups and downs. The only reason they were making money before was because they released their cards first. nVidia has much more brand recognition then AMD.

People here were making it sound like nV was on its deathbed. AMD was the only DX11 player for quite some time, and they can't hold the marketshare gain?

If I was a AMD exec, I would be wondering what in the world we need to do in order to take and hold marketshare.

 

[SirPauly]

What? It's always 60/40 besides a few ups and downs. The only reason they were making money before was because they released their cards first. nVidia has much more brand recognition then AMD.

The only thing confusing me is how they lost money. 40% sales is not bad considering nVidia is plastered all over the world. It must be R&D, otherwise it makes no sense.

They explained why!

down 11% compared to the prior quarter, mainly due to lower discrete mobile unit shipments and seasonality in the desktop discrete graphics at inboard market.

and increased important investments in our next-generation 28-nanometer leadership graphic offerings.

 

[GodisanAtheist]

People here were making it sound like nV was on its deathbed. AMD was the only DX11 player for quite some time, and they can't hold the marketshare gain?

If I was a AMD exec, I would be wondering what in the world we need to do in order to take and hold marketshare.

Answer to that seems to be obvious: Push a TWIMTBP-esq moniker and keep the ATI & AMD names separate for discreet cards to build-up/keep some brand identity. Of course they only started on the first recently with "gaming evolved" and they threw the second out the window so... if there is one thing AMD could could spend a little money on that would go a long way, its marketing. NV's marketing department has a vision and some imagination. AMD got stuck with all the C students.

ATI & Nvidia largely split a 50/50 share or traded 60/40 places during the 9700->X1900 days (I'm not sure how it worked out before then, probably totally in NV's favor from the TNT -> 4600Ti) but the 2900XT -> HD4870 days saw ATI/AMD trying to sort out their game plan with no meaningful marketing or direction, while NV was firing on all cylinders, had a cohesive vision for their company's future and were cranking out gem after gem.

I would go so far to say its a miracle ATI/AMD have managed to hold on to even 40% of marketshare given that they've only recently found any kind of meaningful direction for the company as a whole.

 

[PingviN]

I would go so far to say its a miracle ATI/AMD have managed to hold on to even 40% of marketshare given that they've only recently found any kind of meaningful direction for the company as a whole.

It's not like they invented Fusion last year. Development has taken time (since the acquisition) and now they are reaping the fruits of their labor.

 

[Mopetar]

You don't actually believe this do you?

I'm actually rather surprised by this. The Bitcoin craze has caused every extra Cypress chip to be bought up, even though there is a newer "generation" out.

Those were already sold to retailers though. I don't think that AMD makes any additional money once the stores sell them and since they're not manufacturing any additional parts those sales won't affect their bottom line. Now if the craze had caused the 6000 series parts to sell-out, AMD would have made more money in replenishing those parts.

 

[sandorski]

"Part shortages for the 6990", lol, ya I'm sure that has something to do with it. I mean, they lost a few hundred Sales, maybe, right?

Sometimes I have to wonder what some of these "Analysts" are actually analyzing?

 

[-Slacker-]

AMD is, and forever will be the company with the eternally crappy marketing division. If they haven't learned by now, they probably never will.

No strong marketing, no money. That's how it works.

 

[GaiaHunter]

Sure they are...Llano came out when?

You don't actually believe this do you?

AMD has 2 APU families - Llano and Ontario/Zacate.

Ontario/Zacate are produced at TSMC, using the 40nm process.

40nm TSMC is incidentally the process AMD also use for their GPUs.

So where did the wafers for Ontario/Zacate came?

 

[badb0y]

People here were making it sound like nV was on its deathbed. AMD was the only DX11 player for quite some time, and they can't hold the marketshare gain?

If I was a AMD exec, I would be wondering what in the world we need to do in order to take and hold marketshare.

This happens all the time to like when HD 2000 series bombed people were making it sound like doom and gloom for ATi and when Fermi was late people were bashing nVidia. We have idiots fanboys on both sides like that.

As for marketing I think AMD is doing better now marketing their GPUs. They have the "Gaming Evolved" program and they integrated driver updates to Steam. I would say they are in a better position now then 2 years ago.

 

[tviceman]

Gonna call bullshit on this article until proven othervise.

You called wrong try again!