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AMD Plans to Slash Pricing of Dual-Core Chips Shortly

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http://www.xbitlabs.com/news/cpu/d [...] 53302.html

The new exact new prices for the higher-end AMD dual-core microprocessors are unclear, but given that the fastest chip from the company is currently sold for $251, it is highly likely that the price corrections will not be substantial and will be generally meant to align pricing of AMD Athlon 64 X2 processors with mainboards based on AMD chipsets so that to attract attention of system integrators to AMD’s platforms.

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- 0 +

Price slashing is good...It may put some heat on the Intel boys to do the same.

Reply to onestar
- 0 +

nah, I think Phenom will need to be good for it to pressure intel

Reply to spuddyt

Same as old netburst story. Only this time we will be having 2-3-4 core choice for the new technology when it will reach us.

Reply to virtualban

There are some tech addicted people around who cannot afford all the new tech they want, and hate it when they cannot upgrade gaining 10 to 20% because of the price (you know the type, "my rig is better than yours" ). This will drive them crazy. And the war to overclocking as Phenoms and Cores are comparable clock for clock... it will be awesome.

Reply to virtualban

I will be having a lot of fun myself. I generally upgrade with a 300 $ CPU, 200$ GPU, 100$ RAM and 150$ Board when the next hop offers me at least twice the performance. And I don't throw the old system away (or sell it), because they (all the old systems) still offer great experience for other members of my household.

Reply to virtualban

I got a $40 CPU last time (my 3700, second hand :D), and a $100 mobo. The mobo is not worth $10.


Message edited by randomizer on 10-06-2007 at 11:17:17 AM
Reply to randomizer

i always look forward to these price cuts! just hope the 5200+, which i think AMD released a blank edition with unlock multiplier, gets a decent price drop. might just pick it up!

Reply to silentfoot
- 0 +

I always compare price/performance ratios, and bracket the price range of the customer. That way he gets the best bang/buck and I look like Scotty on Star Trek. <smile>

Come to think of it, he never looked very good. Maybe I shoud have said, I appear to have the same engineering prowess.

Reply to onestar

I hope intel raises prices then the stock will go up!

I doubt intel will match they have the crap-o-la chips 21xx already

Reply to dragonsprayer

Don't bag the E21xx they are good budget chips and (except the E2140 it seems) overclock very well. I've seen the E2180 get to 3.8 I believe, and it will probably go higher.

Reply to randomizer

The Pentium Dual Cores we make at work are very cheap and perform pretty damn well. If you want to get good OCes for cheap, Pentium Dual Cores are the way to go.

Reply to justinmcg67
- 0 +

Hard to beat a e2160 w/a $80-$100 p35 mobo right now, due to the OC'ability of them. AMD's can be cheaper, but don't OC nearly as much, which makes them a good decent STOCK build right now.

Reply to lunyone
- 0 +

Yes, I am in agreement, the 2160 dual is quite a barnstormer.

Reply to onestar

AMD should have dropped the prices before. But anyways, given that the prices are already pretty low, as the article states, there shouldn't be a large price drop. Maybe $10-$20? Well I'm glad AMD is finally acting again, I just wished they would have dropped the prices long before.

AMD now has more bang for your buck, without overclocking.

------------------------------ "Nvidia, the Way It's Meant to be PAID Played! - Corrado
*Lesbian Lover Club* - founder Assman
Reply to Evilonigiri

I think price dropping is a bad idea though. They're already losing money on the chips and have cut prices to outstanding levels. Cutting the 5000+ series and 6000+ series is just crazy. If I was an AM2 owner though that wanted an upgrade before Phenom, which in my opinion is not worth it, just wait, than go for it. But Phenom will be worth the wait I believe.

------------------------------ Intel NWPD Employee. Hawthorn Farm Campus. Navy DEPer, Ship Date: 080122 (YY/MM/DD)
Reply to justinmcg67
- 0 +

If stock is high, and upgrades to Phenom worth a hoot, then it just makes sense that AMD would make this step. Generating operating capital is a great move in my book.

Reply to onestar

If AMD doesn't cut prices they would find themselves sitting on a stock of old processors that definitely won't sell once Phenom ramps up. Better to sell at a loss then to not sell at all.

Reply to San Pedro

True...but still, they're going to lose more and more now. =/

------------------------------ Intel NWPD Employee. Hawthorn Farm Campus. Navy DEPer, Ship Date: 080122 (YY/MM/DD)
Reply to justinmcg67

But not having large inventories lying around will help operating costs, and if Phenom does half way decently it should start making up for all the losses they've been having recently. They've probably got some economists on payroll who know a bit more about this stuff than the majority of us do about this kind of thing... and of course they have all the facts.

-mcg

Reply to MrCommunistGen
- 0 +

so long as phenom is good it won't matter much, BUT....

Reply to spuddyt

I wonder what ever happened to all that Barcelona hype...it released, and than, poof, no benchies. Kind of left me scratching my head goin' "wtf was with the hype than??"

------------------------------ Intel NWPD Employee. Hawthorn Farm Campus. Navy DEPer, Ship Date: 080122 (YY/MM/DD)
Reply to justinmcg67

Well they don't really "lose" the money. The only way they can lose money is if they don't sell it. As long as they sell it, they regain their money back. Think it of this way: they lose money every time they make a cpu and when they sell it, they make it back plus a little more.

------------------------------ "Nvidia, the Way It's Meant to be PAID Played! - Corrado
*Lesbian Lover Club* - founder Assman
Reply to Evilonigiri
- 0 +

I think what is being said is that it may take $20 a chip to make and their selling it to the middle man at $18, so this is why they are losing $ on them.

Reply to lunyone
- 0 +

MrCommunistGen wrote :

But not having large inventories lying around will help operating costs, and if Phenom does half way decently it should start making up for all the losses they've been having recently. They've probably got some economists on payroll who know a bit more about this stuff than the majority of us do about this kind of thing... and of course they have all the facts.

-mcg





Those same economists could be trying to minimize the losses!

Reply to sedaine
- 0 +

I wish they would stop doing this because I can't resist and then I upgrade and it is this big ordeal.......you see I have several computers and when I upgrade one then some of the stuff gets shifted to the next one...etc. and so I end up taking several of the computers apart in order to transfer parts.............sigh..................(must resist).........resistance is futile........

Reply to caamsa

Maziar wrote :

http://www.xbitlabs.com/news/cpu/d [...] 53302.html

The new exact new prices for the higher-end AMD dual-core microprocessors are unclear, but given that the fastest chip from the company is currently sold for $251, it is highly likely that the price corrections will not be substantial and will be generally meant to align pricing of AMD Athlon 64 X2 processors with mainboards based on AMD chipsets so that to attract attention of system integrators to AMD’s platforms.



Maybe AMD wants to clear a way to introduce Phenoms. With their price cuts though, AMD might bleed more money, if Phenom is late again.

------------------------------ Intel will not take the top spot, or probably the top 3 spot back for the forseeable future. Not even with 32nm and more cores will intel be able to beat Jaguar. - JennyH the AMDiot, Nov 2009
Reply to yomamafor1
- 0 +

Perhaps this practice can be thought of as a bandage, so that the bleeding is not so prominant. I see it as a good thing.

Reply to onestar

Evilonigiri wrote :

Well they don't really "lose" the money. The only way they can lose money is if they don't sell it. As long as they sell it, they regain their money back. Think it of this way: they lose money every time they make a cpu and when they sell it, they make it back plus a little more.




AMD loses money. They aren't profiting. They are losing a half billion dollars a quarter.


Oh, and for those of you that want to call me an Intel fanboy, look here: http://finance.google.com/finance? [...] q=NYSE:AMD

13 weeks Ending 2007-06-30
Operating Income -457.00 (in MILLIONS)

13 weeks Ending 2007-03-31
Operating Income -504.00 (in MILLIONS)

13 weeks Ending 2006-12-31
Operating Income -526.88 (in MILLIONS)

Hint: the minus in front of the figures means NEGATIVE, or a LOSS.

Losing a billion and a half in your last three quarters isn't a good thing... Wallstreet agrees, AMD stock has gone from $40 a share to $12.

Message quoted 1 times
Message edited by TechnologyCoordinator on 10-08-2007 at 08:02:26 PM
Reply to TechnologyCoordinator

onestar wrote :

Price slashing is good...It may put some heat on the Intel boys to do the same.



HA! Tell that to AMD's stockholders and their creditors! They're already losing money as-is.

Reply to rodney_ws

So AMD is giving their chips away for free now?

Reply to Heyyou27

What would be the real point of putting out benchmarks on the current barcelona chips that are intended for server systems at the mid range level?

The chips we will want the data for is scheduled for 1st quarter of 08 and probably won't be out by then either.

I know the excitement provokes premature actions and I am as guilty as the next... =P

Reply to englandr753

TechnologyCoordinator wrote :

AMD loses money. They aren't profiting. They are losing a half billion dollars a quarter.


Oh, and for those of you that want to call me an Intel fanboy, look here: http://finance.google.com/finance? [...] q=NYSE:AMD

13 weeks Ending 2007-06-30
Operating Income -457.00 (in MILLIONS)

13 weeks Ending 2007-03-31
Operating Income -504.00 (in MILLIONS)

13 weeks Ending 2006-12-31
Operating Income -526.88 (in MILLIONS)

Hint: the minus in front of the figures means NEGATIVE, or a LOSS.

Losing a billion and a half in your last three quarters isn't a good thing... Wallstreet agrees, AMD stock has gone from $40 a share to $12.



LIES!!!! ALL LIES!!!!

Once K10 is introduced, Intel will soon see 50% reduction in revenue. Intel BK 2Q08, and Pat Otellini will soon find himself jobless, on the street.

------------------------------ Intel will not take the top spot, or probably the top 3 spot back for the forseeable future. Not even with 32nm and more cores will intel be able to beat Jaguar. - JennyH the AMDiot, Nov 2009
Reply to yomamafor1

Heyyou27 wrote :

So AMD is giving their chips away for free now?



From our inside source, AMD plans to include a X2 5200+ inside the kids meal in MCD. :lol: :lol:

------------------------------ Intel will not take the top spot, or probably the top 3 spot back for the forseeable future. Not even with 32nm and more cores will intel be able to beat Jaguar. - JennyH the AMDiot, Nov 2009
Reply to yomamafor1

yomamafor1 wrote :

LIES!!!! ALL LIES!!!!

Once K10 is introduced, Intel will soon see 50% reduction in revenue. Intel BK 2Q08, and Pat Otellini will soon find himself jobless, on the street.



ROFL


yomamafor1 wrote :

From our inside source, AMD plans to include a X2 5200+ inside the kids meal in MCD. :lol: :lol:



Would you like to supersize that? Or perhaps for a quarter more you'd like an Athlon X2 dual core processor?

Reply to TechnologyCoordinator

Any word on the price cuts?

-mcg

Reply to MrCommunistGen

http://www.amd.com/us-en/Processor [...] dir=CPT301

Now let's just wait for the retail to catch up

------------------------------ Intel will not take the top spot, or probably the top 3 spot back for the forseeable future. Not even with 32nm and more cores will intel be able to beat Jaguar. - JennyH the AMDiot, Nov 2009
Reply to yomamafor1

Here's the latest from THG regarding the price cuts. A quick search on pricegrabber and pricewatch are reflecting the new prices.

http://www.tgdaily.com/content/view/34250/118/

Damned that's some cheap processors! I have to admit, ~$160 for a 6000 is pretty damned tempting!

------------------------------ ASRock X58 Extreme - Core i7 920 - 6GB Crucial Ballistix DDR3 1600 - Sapphire 4890 2GB - Creative Xtreme Gamer - 4-80GB WD in RAID0 on HighPoint RR 2310 as OS drive - 1-320GB WD scratch drive - Corsair CMPSU 750TX - HAF 932 - Hanns-G 281DPB @ 1900x1200
Reply to chunkymonster

chunkymonster wrote :

Here's the latest from THG regarding the price cuts. A quick search on pricegrabber and pricewatch are reflecting the new prices.

http://www.tgdaily.com/content/view/34250/118/

Damned that's some cheap processors! I have to admit, ~$160 for a 6000 is pretty damned tempting!



The problem for AMD is than an E6550 is +/- $ 169.00 (according to pricewatch.com)

At stock speeds an x2-6000 and an E6550 are very close, but if you over clock them both the Intel will run away so far and fast you can't even see the x2-6000 in the rear view mirror anymore.

An x2-6000 also takes about 120 watts whiile an E6550 takes 65 watts.

AMD can't price slash it's way to profitability - I simply needs a faster product.

Unless and untill AMD cranks out a chip that go toe to toe with Intel on the performance front, the rest is just re-arranging deck chairs on the Titanic.

Reply to the_vorlon

Maziar wrote :

http://www.xbitlabs.com/news/cpu/d [...] 53302.html

The new exact new prices for the higher-end AMD dual-core microprocessors are unclear, but given that the fastest chip from the company is currently sold for $251, it is highly likely that the price corrections will not be substantial and will be generally meant to align pricing of AMD Athlon 64 X2 processors with mainboards based on AMD chipsets so that to attract attention of system integrators to AMD’s platforms.





It is barely a price cut. Anand has the new prices.

Reply to BaronMatrix

the_vorlon wrote :

The problem for AMD is than an E6550 is +/- $ 169.00 (according to pricewatch.com)

 

At stock speeds an x2-6000 and an E6550 are very close, but if you over clock them both the Intel will run away so far and fast you can't even see the x2-6000 in the rear view mirror anymore.

 

An x2-6000 also takes about 120 watts whiile an E6550 takes 65 watts.

 

AMD can't price slash it's way to profitability - I simply needs a faster product.

 

Unless and untill AMD cranks out a chip that go toe to toe with Intel on the performance front, the rest is just re-arranging deck chairs on the Titanic.


I don't intend to get into an debate and am just sharing some thoughts.

 

The functional phrase is, "if you overclock them". You've got to remember Joe Average doesn't overclock and outside of the enthusiast community if you say the words overclocking you'll get blank stares. When discussing these things, we should remember that most of the world operates at stock speeds. The only reason Joe Average and the everyday average office worker recognizes their desktop has "Intel Inside" is because Dell still gives you little choice in the matter and the countless hours of TV commercials.

 

The joke about heat and cpu wattage is that during the Prescott days and (mostly) up until the Athlon64 how much wattage and heat a proc produced was a non-issue. It was, IMO, the Prescott compared to the Athlon 64's that brought wattage and heat into the mainstream enthusiast mindset. Up until then it was accepted that you'd buy an aftermarket heatsink and add more fans to your case. So, while wattage and heat is a legit concern, the fact that the 6000 is a 120w part compared to the 65w E6550, the issue of wattage and heat as a whole has become a new rally cry for certain fans to claim their brand of proc is better.

 

"Slashing away profitability" is interesting in that it ignores the fact that AMD is less than 18 months into the ATI buy-out. Rule of thumb for a reasonable ROI is 3-5 years. So, given that they borrowed $2.5B to complete the deal and are still able to cut prices to stay competitive speaks largely to their long term plans/roadmap and the partnerships they've established and created to ensure a level of revenue. And, given the recent reports that AMD has gained market share over the past 2 quarters, I'm not so sure they're slashing away anything.

 

At this stage, AMD does not need to "beat" Intel with a "chip that can go toe-to-toe...on the performance front". AMD just needs to produce chips to keep them competitive in the market. At stock speeds and at similiar price points, the current line-up between AMD and Intel is pretty stinking competitive. All jokes aside, Barcelona is a good example because all existing datacenters and IT Managers need to do maintain the infrastructure they invested heavily in 2-3 years ago is a simple BIOS update to effectively double their processing power. As opposed to a new mobo and proc, or in the case of some data centers a new server altogether.

 

Ask yourself this, hypothetically speaking, what happens when the EU, Korea, and other countries begin enumerating fines against Intel as a result of the anti-trust lawsuits? What happens when Intel is forced to pay AMD damages and lost revenue from those suits? Don't kid yourself, it will happen, it's just a matter of time and how much.


Message edited by chunkymonster on 10-09-2007 at 02:25:35 AM
------------------------------ ASRock X58 Extreme - Core i7 920 - 6GB Crucial Ballistix DDR3 1600 - Sapphire 4890 2GB - Creative Xtreme Gamer - 4-80GB WD in RAID0 on HighPoint RR 2310 as OS drive - 1-320GB WD scratch drive - Corsair CMPSU 750TX - HAF 932 - Hanns-G 281DPB @ 1900x1200
Reply to chunkymonster

BaronMatrix wrote :

It is barely a price cut. Anand has the new prices.




WHAT!? AMD IS CUTTING PRICES!? THEY ARE TRYING TO MAKE A MONOPOLY!? ANTI-TRUST!!!



Hey Fudrix, care to come to defense of a 1.5 Billion (yes, with a B) loss over the last three quarters?


I'm sure Fudrix would assure me that Q307 numbers will be profitable, of course. This is because of AMD's high yields and mature 65nm native quad cores, and because of their ability to release new products on time.

Message quoted 1 times
Message edited by TechnologyCoordinator on 10-09-2007 at 03:28:06 AM
Reply to TechnologyCoordinator

TechnologyCoordinator wrote :

WHAT!? AMD IS CUTTING PRICES!? THEY ARE TRYING TO MAKE A MONOPOLY!? ANTI-TRUST!!!



Hey Fudrix, care to come to defense of a 1.5 Billion (yes, with a B) loss over the last three quarters?


I'm sure Fudrix would assure me that Q307 numbers will be profitable, of course. This is because of AMD's high yields and mature 65nm native quad cores, and because of their ability to release new products on time.



You have issues.

Reply to BaronMatrix

the_vorlon wrote :

The problem for AMD is than an E6550 is +/- $ 169.00 (according to pricewatch.com)

At stock speeds an x2-6000 and an E6550 are very close, but if you over clock them both the Intel will run away so far and fast you can't even see the x2-6000 in the rear view mirror anymore.

An x2-6000 also takes about 120 watts whiile an E6550 takes 65 watts.

AMD can't price slash it's way to profitability - I simply needs a faster product.

Unless and untill AMD cranks out a chip that go toe to toe with Intel on the performance front, the rest is just re-arranging deck chairs on the Titanic.


but you can get better amd MB for less then intel ones and the intel MB need more power to run

Reply to Joe_The_Dragon

BaronMatrix wrote :

You have issues.


:lol: :lol: :lol:

------------------------------ Intel will not take the top spot, or probably the top 3 spot back for the forseeable future. Not even with 32nm and more cores will intel be able to beat Jaguar. - JennyH the AMDiot, Nov 2009
Reply to yomamafor1

May I add that the overclocking population is only 2%? That's like less than 200 million of us overclockers, so AMD has some great cpu especially for their price for people who doesn't overclock. The 6000+ beats the e6550 by a small amount, however it takes more energy than the e6550.

Another thing as to why AMD hasn't changed their "high end" (if you can call it that) to 65nm tech, it's because the 65nm has a "leaking" problem. I forgot much about this but basically it leaks so much at high clock speeds that it is less efficient than the 90nm tech. Their Barcy had a similar problem, which will soon fixed by a new stepping revision B1 I think. Should get it to 3Ghz.

Anyways maybe they are doing another price cut because they have too many in stock? You know, supply and demand. I mean it's better to sell it below the cost it takes to make it than just not selling it at all.

------------------------------ "Nvidia, the Way It's Meant to be PAID Played! - Corrado
*Lesbian Lover Club* - founder Assman
Reply to Evilonigiri

justinmcg67 wrote :

True...but still, they're going to lose more and more now. =/



Intel lost big time when they released the Core 2 Duo Extreme. Their Pentium 4's didn't sell much after its release. You saw this reflected in all the top ten CPU lists throughout the web. Intel shot themselves in the foot.

Intel chips are more expensive because they cost more to produce. A vast majority of people do not care about over clocking. They care mostly about PRICE.

"AMD captured a 52 percent share of the U.S. retail desktop market in September, topping Intel's 46 percent share, according to market research firm Current Analysis, which is based in San Diego, California."

http://www.infoworld.com/article/0 [...] tel_1.html

AMD isn't losing anything... they're gaining more market share from Intel !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Reply to enigma067

enigma, you might want to recheck your link, because its outdated by 2 years.

BTW, Intel's chip are much much cheaper to produce than AMD ones, because AMD uses SOI, while Intel uses bulk.

------------------------------ Intel will not take the top spot, or probably the top 3 spot back for the forseeable future. Not even with 32nm and more cores will intel be able to beat Jaguar. - JennyH the AMDiot, Nov 2009
Reply to yomamafor1
- 0 +

The extremists will crow, the fanboys will fan, but the average AMD consumer wins.

Speculation is like balogna, it is cheap to make and spoils very quickly.

Reply to onestar
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