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Opinion: What Does AMD's New CEO Need to Fix?

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September 9, 2011 5:10:54 PM

Two major things that needs to be adressed:

1. Time to market with new products
2. Performance competitive products

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32
September 9, 2011 5:18:08 PM

Marketing or lack of marketing. AMD really needs to grow their brand specially now that they have fusion parts in the low end where consumers will choose by brand more often than not. They need to come up with something catchy like Intel Inside...ding..ding...diing.
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21
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September 9, 2011 5:29:22 PM

Well, if the board wanted more of a focus on tablets and smartphones, perhaps that's what they got. Maybe they're trying to tweak, chop, and hack an APU for that market, specifically to compete with Tegra.
While I sort of agree with pbrigido on #1, something can only be released when it's ready, otherwise it's a big fail. That may mean a tighter rein on the hype machine. I think people would rather have a firm date in the distance than a "next quarter" or "next month" date that keeps getting pushed back. As much as I've been anticipating Bulldozer, I sometimes think I should call it Bullpooper instead for these constant delays.
On #2, I think AMD has shown that the APU concept works well, and IS competitive from an overall system perspective. Brought to the tablet market, I think it will do well. As to owning the top spot in CPU performance, I don't think that matters to a big enough piece of the market.
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-1
September 9, 2011 5:29:42 PM

While there are issues at AMD that need to be addressed, this story reads like sour grapes to me. It's as if some journalists are PO'ed that AMD did not explain the firing of Meyer and the journos know little about Read, so they are frustrated and want to tactfully bad mouth AMD until AMD tells them what they want to know.

Yes AMD most definitely needs to improve execution. By doing so they will also become competitive technically or once again surpass Intel in CPU performance.

What enthusiasts need to understand is that the mass market segments are what make a company profitable, not the latest bleeding edge CPUs. Thus a relatively small company like AMD (compared to a competitor like Intel), must focus it's resources on getting and maintaining the mass markets while still trying to offer enthusiasts some candy.

Read seems to have the marketing and management experience to improve the situation at AMD. You can't make the effective changes that need to be made, overnight. It will take time, like 2-5 years, not months. With AMD finally releasing Bulldozer based chips for all market segments, things should improve financially which gives AMD an opportunity to accelerate new product development and production. I see a bright future for AMD and consumers but with the horrible economic conditions in the U.S. and Europe the road will be bumpy for the next 3 years or more IMO.
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8
September 9, 2011 5:32:42 PM

The one thing intel will always have over AMD, intel chipsets.
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-11
September 9, 2011 5:40:00 PM

Quote:
there is no explicit smartphone / tablet product at this time.

Well of course there isn't... AMD is essentially a chip-maker, not a full-scale product manufacturer. Their development focuses on individual processing components found inside full-scale products, not the product itself. Their primary competition is with Intel (and ARM, to some extent), which is also a chip-maker, and also not a full-scale product manufacturer.

AMD does not (currently) compete directly with the likes of Samsung and Apple, who are full-scale product manufacturers. If they were to go down that route, then they may actually find themselves fighting product wars on far too many fronts. We're all familiar with the expression, "spreading oneself too thin." I worry that should AMD take on full-scale product development endeavors, it could very well be their undoing.

I don't feel AMD needs to branch out and expand their products. Instead, they need to kick their current product R&D into high-gear and start competing at the top-tier again.
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3
September 9, 2011 5:46:48 PM

Fire AMD marketing team and start anew...
Figure out what to do about GF..
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0
September 9, 2011 5:47:46 PM

He needs to keep the company on time.
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6
Anonymous
September 9, 2011 5:49:19 PM

working more on software side of the development process, something competitor to nvidia physx and CUDA. also on processor's instruction set.
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-4
September 9, 2011 5:51:21 PM

Don't fix anything. AMD is on the right track finally. They got smart and moved to other markets and stopped trying to compete with Intel in the dying enthusiest desktop market.

They shipped 15million APU's in the 2nd quarter alone and released 16core quad channel bulldozers for the server market already.

Way to go AMD.
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-1
September 9, 2011 5:55:24 PM

He needs to show us some bulldozer benchmarks
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19
September 9, 2011 6:04:47 PM

They have fixed it, they have Fusion.

What they need is a fusion tablet that wins price/performance wise and wins on features... coming next year I bet.
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2
September 9, 2011 6:05:56 PM

GeekApproved prety much said what I was going to say. AMD is no longer the juggernaut they once were. AMD has realized that the enthusiast market is essentially a wash and is concentrating on undercutting Intel on the lower-end cores. They simply have less money for R&D and cannot keep up with Intel so it makes sense.

Whether they are milking the current tech for what it's worth or actually trying to push forward will remain to be seen. AMD needs to work on cutting deals with all the big-name laptop and desktop manufacturers to get cores in those products, and corner Intel in the lower end market to stay relevant. Although this is bad for gamers and enthusiasts (Less pressure on intel to make newer, better cores) it doesn't seem to matter as pretty much every game made nowadays is made to order for 5 year old ecksbawks and pee ess three hardware.

Anybody who says anything other than this obviously isn't thinking from AMD's point of view. They don't need to have the biggest and best, rip-roarinest data-munching processor, they just need cash, that's what makes the world go 'round after all.

And as far as the people who are saying "keep them on time" would you rather AMD dumped too much money into R&D for the new cores and had to declare bankruptcy or close up shop because of it? They can't afford to push out new cores on a tick-tock yearly schedule like Intel.

If there's one thing they need their CEO needs to fix, it's that awful stock photo of him grinning like an idiot with that dorky combover.
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1
September 9, 2011 6:06:41 PM

They need to get their name out their in the public arena. AMD needs exposure. It seems that everytime you turn on the damn boob tube you hear that annoying but memorable "bum bum, bum bummmmmm" tune of intels.
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17
September 9, 2011 6:20:58 PM

they need to reduce their prices. AMD seems to ignore the the price vs performance of their competitors and price slower parts similarly to faster competitor parts.

Don't sell a CPU for $200 if that same $200 can get me a cpu thats nearly 30% faster from intel.

AMD has done good with lowering prices for their mid range chips where you get better price to performance than from intel, but but from their higher end parts, they need too significantly bring down the prices.

The cost of making a CPU is very low, generally $5-10, and while R&D is expensive, if you want to get a better return on investment, is better to sell a CPU at $120 instead of $200 and sell 10 times as many CPU's

Remember, with CPU's, the manufacturing is cheap, the R&D is expensive.

AMD's failure is doe to them not pricing within their performance bracket. Also, while AMD may not have the fastest chips, in the area where most people buy CPU's are and where most prebuilt systems CPU's are, AMD has a wide range of equivalent CPU's for less money. The problem here is that inconsistent pricing makes it a confusing investment as you are unsure if it would be worth investing in a system where a future upgrade may cause you to get a bad price to performance ratio.
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-8
September 9, 2011 6:21:51 PM

He can find AMD a better, smarter CEO who doesn't use tired cliches like "I want AMD to become a predator."
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1
September 9, 2011 6:33:00 PM

I Use AMD at home and Intel at work (no choice) my AMD system at home is a Athlon X2 64 3800+, my work is a Intel E8400. Both are Dual Core, the Intel uses faster ram (DDR2 vs DDR), and is 3.0Ghz to my AMD's 2.0Ghz, and i still feel that i am getting the same performance from both. I can't see a reason to favor Intel when in my "real world use" it's not faster.

AMD has my loyalty because Intel is the sneaky greedy mocher in the room.

AMD has the best price per performance.
Intel has the best "highest price".
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-5
September 9, 2011 6:56:30 PM

Start working on system-on--chip designs for mobile devices, that is what the board wants, right?
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1
Anonymous
September 9, 2011 7:16:55 PM

Simple..

1) Create a winning desktop CPU! It must be faster than Intels!
2) Sell it for slightly less than Intels top end CPU!
3) ?
4) Profit!
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7
September 9, 2011 7:27:48 PM

@ coldmast, it's not fair to compare an athlon X2 64 3800+ to an E8400 wolfdale CPU (which even beats some tri/quad core CPUs in benchmarks).
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2
September 9, 2011 7:29:28 PM

While diversity is very good, it would be nice if they focus alot more on performance as well. For the average user, they are in a decent position. But for "gamers" they are NOT even an option compared to intel. There's just too much of a difference between the two.
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4
September 9, 2011 7:29:51 PM

Sorry I meant to write @ kriswone
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0
September 9, 2011 7:37:19 PM

GeekApprovedDon't fix anything. AMD is on the right track finally. They got smart and moved to other markets and stopped trying to compete with Intel in the dying enthusiest desktop market.They shipped 15million APU's in the 2nd quarter alone and released 16core quad channel bulldozers for the server market already.Way to go AMD.


It's kinda funny how one comment can be copied and pasted from news article to news article and still be relevant to each lol...

Anyway... I want to see more work on the advertising. They have great looking products like the black/red radeons, etc. They need to really field out the proper ad agency and hit it gas pedal to the floorboard and keep it straight. They could really gain broad appeal in all areas from budget to high-end with the right strategy.
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2
September 9, 2011 7:40:06 PM

his face is like a rotten potato
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2
September 9, 2011 7:49:08 PM

While I was having a smoke... hook up with a well respected documentary filmmaker and really, I mean really, open up the doors and show the world what was once the deepest darkest industry secrets... It'd be revolutionary. Make it also very people and family oriented. Really put a spotlight on some of the personalities over at AMD... the common man, the mashed potatoes and gravy, and go for that AMD is *more* American than Intel. Leave out any references to Malaysia lol...
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-5
September 9, 2011 7:49:33 PM

computertech82While diversity is very good, it would be nice if they focus alot more on performance as well. For the average user, they are in a decent position. But for "gamers" they are NOT even an option compared to intel. There's just too much of a difference between the two.


Sounds like a basic user. 20 seconds faster at a simple task is not worth the price difference is what I believe he is saying.
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-2
September 9, 2011 7:58:08 PM

Drop the Sempron asnd Athlon names. There is no need for these cpus to be on the next platform. Don't make the same mistake intel is doing by creating a cluster fudge of processors that don't need to be there anymore like the Celeron and Pentium line.
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3
September 9, 2011 7:58:31 PM

All amd need right now is exposure, and a hard future focus on mobile platforms from a make the investors money standpoint. Nothing more.

Bulldozer is nice but its not going to sell truckloads of them when their lowest end Bd part ends up in $1000+oem pcs. People are going for laptops, netbooks and tablets to a lesser extent. Amd needs to mAke a part at the price of an atom that performs like a core 2. Once they do that everything else is going to fall in place.
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1
September 9, 2011 8:01:30 PM

When I was in retail, back in the Athlon days, it was simple to say "hey, a word document or a web page can only open so fast regardless.." A lot easier from that perspective.

I think that guy is still way off as far as stating they're not an option for gaming. Is 1080p the most widely used resolution yet? If not, it will be soon and for a long time to come. Anybody with a dual core chip as much as 5 years old can achieve that with the right gpu.
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-1
September 9, 2011 8:16:48 PM

What many enthusiasts do not understand is business... Advertising is great but 95% of consumers don't know or care what brand of CPU is in a store bought PC. All they care about is price and perceived value. AMD knows this and that is why they sold 12 million Llano APUs in a few months - FAR more than they expected. The way they achieved this excellent sales volume was because they got 150 new wins from VENDORS who build PCs for the consumer market. They showed the VENDORS what was coming with Llano laptop APUs, supported their development of the Llano platform and then when they started shipping Llano the VENDORS were all geared up and shipped these out to customers looking for a great user experience for a low price. AMD didn't even advertise Llano because the VENDORS are the ones who deliver to the mass markets.

Intel can afford to piss away hundreds of millions on TV ads and buy server sales and ultrabook sales with bribe money. AMD can't compete on ad or marketing dollars so they instead deliver what customers want. In the server market that is low power consumption, long term platform stability/upgrade options and good performance. Welcome to Opteron 6200/4200!

So Llano is a hit, Bulldozer based Opteron 6200's/4200's are selling faster than AMD can produce them with Cray and other super computer folks using them to upgrade existing computers and in new builds. Cray supposedly got the first 10,000 AMD Bulldozer based Opterons and is waiting for more. Next when AMD releases Zambezi they won't be able to produce them fast enough to meet demand. All of this is good news for consumers and a watershed moment for AMD. Once the Zambezi and other Bulldozer iteration pipeline is open AMD will be shipping Bulldozer based CPUs as fast as they can produce them.

Read's job will be to manage this sudden sales/production growth, expedite production of the next several waves of Bulldozer upgrades, define product for 2015 and beyond, refine the ramp of new product so it is on time or early, continue to build VENDOR relations now that Intel has been convicted of bribery, blackmail, and other illegal strongarm tactics and advance the APU advantage that AMD has over Intel in all market segments.

AMD has existed for more than 35 years by providing what consumers want at a fair price. They don't need to be bigger than Intel or have more sales to deliver the best value/performance proposition. They need to evolve not make radical changes.
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7
September 9, 2011 8:19:46 PM

Since a CEO isn't going to be in the lab designing new chips, I'll submit two areas of needed improvement where Intel absolutely destroys AMD.

1. Marketing/Branding: In the time I've followed/covered AMD, I've found their marketing efforts to be woefully inadequate. Even when they've had market leading technology, they fail to come up with a cohesive branding message and strategy to get people, be it end users, systems builders, or OEMs, interested in those products.

2. Developer/System Builder relationships: Intel has gone out of its way time and again to build up a strong developer following and partner channel with loads of technical/marketing/sales support. You talk to any AMD partner/developer out there, and they'll say the exact opposite. Those relationships are barren, and Read must build them back up if AMD has any hope of gaining ground.
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2
Anonymous
September 9, 2011 8:31:37 PM

I think the thing that Intel figured out with their tick-tock strategy is that it is easier to bring a new process (45nm->32nm) with an older proven architecture than it is to bring up a new process and new architecture at the same time. If AMD would have moved the Phenom architecture to 32nm it would have improved their speeds and their bottom line since the die would be smaller.

Although it might be that GF is constrained on the amount of 32nm wafers/chips it can process anyway.

Oh, how about AMD Aboard for an Intel Inside slogan clone?
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0
September 9, 2011 8:36:30 PM

My Phenom II can play Crysis and for that fact I'm happy with AMD. AMD of course needs to release some new chips but I believe they're going in the right direction. Their purchase of ATI was in my opinion brilliant and their new APUs are exactly what we need more of. I do not like AMD's decision to drop the ATI badge but the nice A4, A6, A8 line they have going is worth saying goodbye to ATI. What AMD needs to do is drop the Sempron, Athlon, and Phenom badges and create something very much like Intel's i3/i5/i7 (they're starting to do that with A4, A6, and A8 but we need more). AMD make all of the entry level processors As. The mid-range Bs and the top-of-the-line CPU's Cs. Then make the fastest processor available the C4 and you're ready to go.
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0
September 9, 2011 8:42:38 PM

beenthereWhat many enthusiasts do not understand is business... Advertising is great but 95% of consumers don't know or care what brand of CPU is in a store bought PC. All they care about is price and perceived value. AMD knows this and that is why they sold 12 million Llano APUs in a few months - FAR more than they expected. The way they achieved this excellent sales volume was because they got 150 new wins from VENDORS who build PCs for the consumer market. They showed the VENDORS what was coming with Llano laptop APUs, supported their development of the Llano platform and then when they started shipping Llano the VENDORS were all geared up and shipped these out to customers looking for a great user experience for a low price. AMD didn't even advertise Llano because the VENDORS are the ones who deliver to the mass markets.Intel can afford to piss away hundreds of millions on TV ads and buy server sales and ultrabook sales with bribe money. AMD can't compete on ad or marketing dollars so they instead deliver what customers want. In the server market that is low power consumption, long term platform stability/upgrade options and good performance. Welcome to Opteron 6200/4200!So Llano is a hit, Bulldozer based Opteron 6200's/4200's are selling faster than AMD can produce them with Cray and other super computer folks using them to upgrade existing computers and in new builds. Cray supposedly got the first 10,000 AMD Bulldozer based Opterons and is waiting for more. Next when AMD releases Zambezi they won't be able to produce them fast enough to meet demand. All of this is good news for consumers and a watershed moment for AMD. Once the Zambezi and other Bulldozer iteration pipeline is open AMD will be shipping Bulldozer based CPUs as fast as they can produce them.Read's job will be to manage this sudden sales/production growth, expedite production of the next several waves of Bulldozer upgrades, define product for 2015 and beyond, refine the ramp of new product so it is on time or early, continue to build VENDOR relations now that Intel has been convicted of bribery, blackmail, and other illegal strongarm tactics and advance the APU advantage that AMD has over Intel in all market segments. AMD has existed for more than 35 years by providing what consumers want at a fair price. They don't need to be bigger than Intel or have more sales to deliver the best value/performance proposition. They need to evolve not make radical changes.


C'mon... a couple commercials tying their cpus and gpus together couldn't hurt. /smile
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0
Anonymous
September 9, 2011 8:43:10 PM

@robwright

there is no way in hell AMD can compete with the amount of cash intel throws at developers and system builders, doesn't matter how accommodating AMD are your never going beat cold hard cash
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1
September 9, 2011 8:46:17 PM

A lot of kids love commercials more than the shows. Look at the success Joe Camel had on the children (sorry joke). Intel's doing it with their cute robots and glowy ghost cute animal stuff... oh and cartoon penguins... AMD could churn something out on the cheap.
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0
September 9, 2011 9:29:51 PM

WhatAboutBulldozerI think the thing that Intel figured out with their tick-tock strategy is that it is easier to bring a new process (45nm->32nm) with an older proven architecture than it is to bring up a new process and new architecture at the same time. If AMD would have moved the Phenom architecture to 32nm it would have improved their speeds and their bottom line since the die would be smaller.Although it might be that GF is constrained on the amount of 32nm wafers/chips it can process anyway.Oh, how about AMD Aboard for an Intel Inside slogan clone?


Though, Llano basically IS a 32nm Phenom, just with a GPU included.
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0
September 9, 2011 9:37:11 PM

Man time to market. Stop letting Intel dictate it to you. Mobile market for small wattage APU's for mobile devices. That means freaking get down to smaller transistor sizes sooner. When athlon came out AMD purposely was trying to outperform Intel. NOw they are going back to this price performance non-sense.
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-1
September 9, 2011 9:38:09 PM

Oh yes, and marketing! I haven't seen a commercial since the original AThlon.
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-1
September 9, 2011 9:41:07 PM

I was going to conquer world today but I guess it can wait till tomorrow again... Dag that makes twice this week!
instead of an APU with ok gpu what about including 1500 stream processor at 880Mhz, increased memory bandwidth, increased L1, L2 cache. Also how bout putting nonvolatile flash on MB for the hard drive to aid in boot times, fetch req's etc. Can we like double or quad pump the HT bus?

imho
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0
September 9, 2011 9:41:47 PM

clonazepamC'mon... a couple commercials tying their cpus and gpus together couldn't hurt. /smile

beenthereWhat many enthusiasts do not understand is business... Advertising is great but 95% of consumers don't know or care what brand of CPU is in a store bought PC. All they care about is price and perceived value. AMD knows this and that is why they sold 12 million Llano APUs in a few months - FAR more than they expected. The way they achieved this excellent sales volume was because they got 150 new wins from VENDORS who build PCs for the consumer market. They showed the VENDORS what was coming with Llano laptop APUs, supported their development of the Llano platform and then when they started shipping Llano the VENDORS were all geared up and shipped these out to customers looking for a great user experience for a low price. AMD didn't even advertise Llano because the VENDORS are the ones who deliver to the mass markets.Intel can afford to piss away hundreds of millions on TV ads and buy server sales and ultrabook sales with bribe money. AMD can't compete on ad or marketing dollars so they instead deliver what customers want. In the server market that is low power consumption, long term platform stability/upgrade options and good performance. Welcome to Opteron 6200/4200!So Llano is a hit, Bulldozer based Opteron 6200's/4200's are selling faster than AMD can produce them with Cray and other super computer folks using them to upgrade existing computers and in new builds. Cray supposedly got the first 10,000 AMD Bulldozer based Opterons and is waiting for more. Next when AMD releases Zambezi they won't be able to produce them fast enough to meet demand. All of this is good news for consumers and a watershed moment for AMD. Once the Zambezi and other Bulldozer iteration pipeline is open AMD will be shipping Bulldozer based CPUs as fast as they can produce them.Read's job will be to manage this sudden sales/production growth, expedite production of the next several waves of Bulldozer upgrades, define product for 2015 and beyond, refine the ramp of new product so it is on time or early, continue to build VENDOR relations now that Intel has been convicted of bribery, blackmail, and other illegal strongarm tactics and advance the APU advantage that AMD has over Intel in all market segments. AMD has existed for more than 35 years by providing what consumers want at a fair price. They don't need to be bigger than Intel or have more sales to deliver the best value/performance proposition. They need to evolve not make radical changes.



Yes but Vendors pay attention to commercials as well. If they are known to be partnered with a known company then it helps them in their sales. Come on the Pentium name was huge and average consumers knew that whatever it was if my computer has it, it's "good". It's about branding it's not actually about whether it's better or not. Apple is a master at this, Coca-Cola, and so on, AMD has let Intel out brand them but then again Intel is still like 10x's the size of AMD.
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-2
September 9, 2011 10:02:35 PM

I say, to hell with marketing, just put all the resources into delivering an awesome product (powerful affordable), and the millions of review sites will let the chips fall into place. focus on making the best product possible and people will jump ship.
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0
September 9, 2011 10:58:32 PM

GaMEChldThough, Llano basically IS a 32nm Phenom, just with a GPU included.

More like a 32nm Athlon.(has no l3 cache)
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0
September 9, 2011 11:36:42 PM

1. Stop delaying BD. I don't care if it doesn't beat intel, so long as it's close performance wise and cheap.

2. Start an advertising campaign (how many AMD/ATI commercials have you seen?).

3. Train some of the resellers to NOT regurgitate fixed synthetic benchmarks.
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1
September 10, 2011 12:11:12 AM

First off,just leave this CEO alone,but he should take less pay. Secondly,amd's processors have to succeed before this CEO can look good in the media & onlookers eye.
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1
Anonymous
September 10, 2011 12:41:18 AM

- Agree with many, AMD does not have the money for marketing themselves. The vendors do it for them. They should also watch the movie "The best movie ever sold." Product placement can go a long way. I get so sick of seeing Apple crap all over TV 'conveniently' placed. This is not Apple bashing per say, but Apple does a better job of telling people what they need rather than giving consumers a choice. They market themselves as "YOU NEED THIS" and that's why the masses fall for it in a lot of ways.

As far as trying to compete clock for clock with Intel, that its pointless. Performance per buck is what it boils down to and the AMD got it right with a great mix of graphics performance and computing performance in one. Give it some time and the vendors will push this big, I'm already seeing a lot of OEM build APU machines here in Japan. That's a big change believe me.

If they want to move ahead they do need to push this into the mobile/tablet market. A APU in a tablet would be awesome. An ARM partnership, if done ok would be great, but I'm still waiting for a great x86 tablet to come onto the market that can really be useful in business. AMD needs to talk with Lenovo and Microsoft or something and through that they could dominate business tablets.

Server's - Again, they can dominate on price performance, but relationships are going to be key. I think having Read on board might open some great opportunities. Who knows, maybe AMD can dominate servers in China? What a growing market with a lot of potential. They really need to get some AES-NI into everything though in my opinion.
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0
September 10, 2011 1:27:39 AM

Don't blame the CEO at all,just blame the people who are not loyal followers. The reason that they're not loyal followers is because AMD can not produce good enough processors at all (although could just be good enough to pass for some of us,but not good enough to fool the majority of us). The few times that they did,Intel quickly came back to the foreground with their top dog new line up of processors each time.
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-4
September 10, 2011 1:40:25 AM

nikkidpartypooper said:
First off,just leave this CEO alone,but he should take less pay. Secondly,amd's processors have to succeed before this CEO can look good in the media & onlookers eye.

Hi nikkidpartypooper :hello:  or should I call you nik the kid party pooper. :lol:  I'll agree with all of your post,because that is how I see it. ;)  Don't forget though that I do not think that AMD can actually pull it off this time with their new bulldozer that will soon run out of diesel. :lol:  Intel has its E-Sandy Bridge series coming out & about six months after,you'll see Intels ivy bridge & panther point chipsets. :lol:  So I think that it'll be a no win situation for AMD. :) 
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-2
September 10, 2011 2:13:51 AM

the question: What doesn't he need to fix?...in my own opinion he needs to change the way AMD is following nVidia....AMD needs to become a leader, not a follower, maybe then I will start to purchase their products again
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