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Subsidies for Jobs

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muk
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Since its acquisition of ATI, AMD has developed into a platform vendor. In addition to CPUs, the company also offers chipsets and graphics processors. Phenom, the company's first quad-core CPU for the desktop segment, was finally released after many delays only recently.
 
http://www.tomshardware.com/2007/1 [...] _for_jobs/

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I really have no idea what that was about.

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Hmm I don't see they mention anything about the title!


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I finally agree with BM :>
 
I'm not sure what that whole article was about :>

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Lead story on Tom's home page.  Saxony gov't in Germany gave AMD 262 million euros to help preserve the jobs in their fab there.  It's a boring interview, to boot...

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I thought the title fit. They started by stating how Germany was subsidizing AMD to keep jobs in Germany. That begs the question, if Germany feels a need give AMD that much money to keep them in buisness, then is AMD doing worse than we think they are?  
But I liked the fact that the interview wasn't just some emailed questions that got answered like they usually are. I thought it was an upfront interview that really revealed that AMD management felt they are where they expect to be. Polster seemed to be upfront and didn't use as much political speech as you usually get.

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Since Dr. Tom left, Tom's Hardware has become a shill for AMD.  First there was the very misleading article on the Phenom launch with bogus benchmarks and then the "Paper Tiger" article on Intel's chips, claiming that they were incompatilbe with existing motherboards.  I'm not a fanboy of either company (they both overprice their chips), but this is getting out of hand.

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I think they just flubbed on the title. I think the fact that Germany gave them 262M shows you that AMD might get help when they need it. Just like some of the airlines after 911. The US gov gave them some cash. Im sure it would hurt the world economy if AMD went under, so if they fall further, maybe more help will come.
 
I just hope they can put out some highend stuff sooner than later.

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The fact that Germany gave AMD any amount of money is not really relevent.  
 
That is common place.
 
Governments (Usually State or Local in the US), frequently give companies money, directly or inderectly through tax breaks, to build/operate in their borders so as to generate indirect revenue.
 
This is not really a handout, since Germany most likely feels they will wind up with more money in their pocket than if AMD had decided to build their factory elsewhere, such as say Austria.

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This part was hilarious:
 
"To my knowledge, the competition [Intel] does not offer graphics chips."
 
Apparently, this guy is confused at who is #1 in sales for the graphics chip market.  
 
"Yes, Phenom is very well received. We are continuing our strategy of being a little more affordable than the competition. With the Phenom CPU, we are offering products at a very attractive price."
 
I wonder if he gets dizzy from spinning so violently.


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zenmaster wrote :

The fact that Germany gave AMD any amount of money is not really relevent.  
 
That is common place.
 
Governments (Usually State or Local in the US), frequently give companies money, directly or inderectly through tax breaks, to build/operate in their borders so as to generate indirect revenue.
 
This is not really a handout, since Germany most likely feels they will wind up with more money in their pocket than if AMD had decided to build their factory elsewhere, such as say Austria.


 
Ain't that the truth...AMD is just another name in a long list like the airlines, telephone, gas & electric companies, Hyundai, Samsung, General Motors, and now the banks to bail out all those dumb f**kers who took out interest only and subprime loans for their McMansions!
 
And, oh yeah, I agree, I don't get the point of that article either...


Message edited by chunkymons ter on 12-07-2007 at 04:50:52 PM

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wolverinero79 wrote :

This part was hilarious:
 
"Yes, Phenom is very well received. We are continuing our strategy of being a little more affordable than the competition. With the Phenom CPU, we are offering products at a very attractive price."
 
I wonder if he gets dizzy from spinning so violently.


 
I'm not sure if he's dizzy, but I really wonder what he might be smoking, or otherwise using. Phenom's been a hard sell, it doesn't perform decently, its more expensive then Intel's 6600 which is a faster chip, and its been recalled.  
 
Who is it that's receiving it well?  :pt1cable:  Anybody on these forums buy one?


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This article was just a PR move. It had no reason to be the lead article on this site. Slow news day I guess.

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I think the purpose was to dispell some of the misinformation about AMDs current situation. Some of the folks in the forum make up stuff and try to sell it as fact.
 
For example, im willing to be that AMD knows more about its own sales figures than Sailer does. (Sorry Sailer)

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rallyimprezive wrote :

For example, im willing to be that AMD knows more about its own sales figures than Sailer does. (Sorry Sailer)


 
I'm sure AMD knows that exact figures better than I do. But I know several computer outlets and their owners and they haven't sold a single one. They have sold many AM2 powered systems, but no Phenoms. I don't doubt that some have sold, just no great numbers of then. Besides, my reference to "well received" didn't have so much to do with the numbers as to the reaction to the errata bug and the fix that slows the chip down. And if you look at the AMD stock prices, the prices has been dropping steadily, rather than making gains that a good selling product would reflect.


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zenmaster wrote :

The fact that Germany gave AMD any amount of money is not really relevent.  
 
That is common place.
 
Governments (Usually State or Local in the US), frequently give companies money, directly or inderectly through tax breaks, to build/operate in their borders so as to generate indirect revenue.


I find it hugely relevant that Germany gave AMD money as: 1) Germany is hypocritical as it is the first nation to whine to the WTO about unfair U.S. trade practices and to use lawsuits to gain advantage (MS, farm subsidies, aviation companies etc), and 2) it does beg the question of AMDs financial stability.  
 

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This is not really a handout, since Germany most likely feels they will wind up with more money in their pocket than if AMD had decided to build their factory elsewhere, such as say Austria.


Of course it is a handout. Germany is a socialist country - handouts and central planning are the norm. Fine by me; in 10-15 years their economy is going to collapse under the weight of too few workers to support their welfare economy; but I guarantee that if South Carolina were to give the same deal to AMD or Intel: Germany would be leading the charge with lawsuits and denouncing the "unfair trade practices". Screw them.

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Message edited by Busto963 on 12-07-2007 at 07:22:34 PM
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That was a joke of an interview... I loved how the guy answered the question about Phenom's performance. Maybe there is a language barrier that is preventing me from understanding exactly what is benig said in the first sentence or two.  
 
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Toms's: Were you surprised by the performance figures of the new Phenom processor?
 
J. Polster: No. I was surprised by its mainstream performance. We offer a strong and solid platform, which we have been able to realize as a result of our acquisition of ATI. I will admit that we're currently not quite at the top in the high-end market.

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wolverinero79 wrote :

This part was hilarious:
 
"To my knowledge, the competition [Intel] does not offer graphics chips."
 
Apparently, this guy is confused at who is #1 in sales for the graphics chip market.

 
 
Yeah, cos we see a lot of intel chips on their own PCI-Express board outperforming ATI & Nvidia offerings... Oh, hang on a sec...
 
Integrated graphics was obviously not what he was talking about, but discrete graphics. True, Intel is starting up their own line as we speak, but it's not gonna be mature for a couple of years.
 

wolverinero79 wrote :

"Yes, Phenom is very well received. We are continuing our strategy of being a little more affordable than the competition. With the Phenom CPU, we are offering products at a very attractive price."
 
I wonder if he gets dizzy from spinning so violently.


 
Well, if you disregard the bit about being well received (lets be honest, no one can really recommend a phenom at the moment with all the issues they're having) ... AMD themselves are offering their products to retailers at very attractive prices which would make them slightly (fractions of %) better price/performance than Intel's offerings (If the chips didn't have the errata issues...) It's just that retailers are putting their own markup on the chips (as they should) which then make it so they don't quite fit in the price/performance scale ^^

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Hey guys wait a min,  we all need to support AMD at this point.  I remember the days of Cyrix vs intel and there chip monopoly.  Good old 386-486 days and I dont want to be in that position again.  I still remember the close to a grand price of the P60 'with a bug" that I needed to play quake and haveing 4 children there was no way, so I played with the turtle icon on the screen "Remember?"  most likely you dont.   Thank God AMD released the K5 chip that had a performance rating of p90 !!! yes for  under $ 200.00  and I have been buying AMD ever since.  As a system builder I have build thousand of AMD system,  I got a bit upset with AMD a few years ago cause there 64 64x2 chips where priced a bit to high and  it started to remind me of the good old Intel monopoly days.
I will always buy AMD cpu's  and never want to see Intel monopoly again and neither do you!    The way it looks these days is that intel is giving you the performance almost free just to hurt AMD and there doing a good job dont you think?      

jsc
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"Toms's: Were you surprised by the performance figures of the new Phenom processor?
 
J. Polst