AMD: Read Our Lips, No New Price Cuts

An incipient price war between chip giants AMD and Intel may fizzle out after some midsummer skirmishing as AMD has no plans to further cut CPU prices any time soon, said Gary Bixler, AMD's director of marketing for North America. Intel is widely expected July 22 to cut prices on its three desktop quad-core processors and July 29 to its quad-core server SKUs. The Intel price cuts are perhaps all part of its own cunning plan, but they come on the heels of AMD's own round of price-slashing last week. There's no small amount of speculation that Intel's anticipated move is a reaction to AMD's, and from there the leap to predicting a brand new price war isn't a terribly long one.

But all-out war just isn't going to happen, asserted Bixler, whose company cut prices to its range of dual-core Athlon 64 X2 and FX processors by as much as 33 percent last week. "We've tried to be very transparent on price actions. Things got crazy last year, but this year we made it a point to provide the channel with what it wants, which is a predictable business, a stable business. We communicated that price move well in advance to our channel partners. We haven't announced our next price move yet, so take that at face-value -- another one is not imminent," he said.

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News source: CRN

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