So What happened to AMD processors?

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taltamir

Lifer
Mar 21, 2004
13,576
6
76
Originally posted by: Idontcare
Originally posted by: grndzro7
What happened to AMD was Intel using their screwed up rebate system and Billions of dollars in kickbacks to lock AMD out of the market.

And the result was AMD falling too far behind in R&D as a direct result.

Think about it.....in 1999 AMD came out with the Athlon...it smoked the P3 & P4. Vendors wanted it, AMD signed deals with a bunch of manufacturers. Intel Withdrew it's rebates and offered $$$ if the companies would stick with Intel...Hell Intel offered even more rebates if a company was 80% intel, and even more if they were Intel exclusive.

This persisted because Intel had so many companies in it's pocket they could manipulate prices and force the other companies to use Intel Processors because with the rebates it made no economical sense to switch to AMD even though they had a better product.

So in short Intel used it's monopoly of the market to lock out AMD.
7 years of AMD having a better product...1999-2006, resulted in nothing.

Aren't we supposed to pepper such accusations with the words "allegedly" throughout? Hasn't been proven in court yet that this is what happened to AMD's undoing.

If it did in fact occur on a scale that was large enough to impact AMD as speculated then yeah, it such to be the recipient of suck dirty pool.

At the same time if you have executive management that feel their value to the company is so tremendous as to warrant compensation to the tune of millions and millions while employees are getting laid off then you have a right to expect the same wonderful managers to be capable of competently and successfully manoeuvring the business through such challenging business conditions.

Rebate = paying less money... how exactly is making your product cheap enough so that it makes no sense to buy the competition wrong? lowering your price is not "locking out the competition". Telling someone "if you sell my competitor I will not let you sell my product and I will tell all my clients to not do business with you as well" is locking out the competition. (for example, the RIAA has agreements with radio stations that they will only license their songs to radio stations that sign an exclusivity contract, making it illigal for such radio stations to play songs not owned by RIAA memebers)
 

Lightning983

Member
Jun 27, 2008
72
0
0
Originally posted by: taltamir
Rebate = paying less money... how exactly is making your product cheap enough so that it makes no sense to buy the competition wrong? lowering your price is not "locking out the competition". Telling someone "if you sell my competitor I will not let you sell my product and I will tell all my clients to not do business with you as well" is locking out the competition. (for example, the RIAA has agreements with radio stations that they will only license their songs to radio stations that sign an exclusivity contract, making it illigal for such radio stations to play songs not owned by RIAA memebers)

Yeah, but that's exactly the reason why monopoly laws should be enforced even more.
Its not "fair market competition"... Intel has a lot of cash, and it was simply throwing it around to anyone who would take it.

I mean OK, if you want to sell as much of your product lower the prices, don't go around using your influence to tell others NOT to buy the other guy's stuff.

I think there was a law suit by AMD about this... and its still ongoing. But i'm not sure.

Saying that, i was an AMD man up until a year ago.... and still hoping they'll make something good, because it will affect the all around pricing in a positive way


And please don't go the RIAA way... i don't think you'll find many "supporters of their cause" here :D

 

Phynaz

Lifer
Mar 13, 2006
10,140
819
126
Originally posted by: Viditor
Originally posted by: Phynaz
I am, I've been trying to sell my shares at $3 all week. No takers.

Interesting...since AMD closed above $3 for half of the week, I think you need to have a word with your broker!

Monday is half of the week?

You Aussies sure are a strange lot.
 

Idontcare

Elite Member
Oct 10, 1999
21,118
58
91
Originally posted by: Lightning983
Yeah, but that's exactly the reason why monopoly laws should be enforced even more.
Its not "fair market competition"... Intel has a lot of cash, and it was simply throwing it around to anyone who would take it.

Look around. You think the governments of the world are worried about making strong companies any weaker at this point in time when all the ones who are to big to allow to fail are soaking up hundreds of billions of government aid to stay afloat (to the detriment of the smaller competitors within the same industry).

In this present world Intel is far more likely to get a bail-out than AMD as AMD isn't so big that we can't allow it to fail.

(think about how perverse that concept is in the face of the reasoning for anti-monopoly policies in the first place and you'll realize just how fubar'ed the free markets are right now...history will not look kindly on this era 100 yrs from now)

Ain't no government on the planet gonna enforce an anti-monopoly policy after the past 6 months of enforcing a global pro-monopoly policy with taxpayer dollars.