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Dell to Scale Back AMD Machines on Website

Computer maker Dell Inc. has stopped selling many computers with processors from Advanced Micro Devices Inc. on its Web site, although it will continue selling some through retailers. This decision is a setback for AMD, which managed to break Dell's exclusive supplier relationship with Intel Corp. in 2006. However, the computer maker was sure to make clear that they weren't abandoning AMD: "We regularly adjust our product offerings and how customers can purchase those products," said spokesman David Frink. "The majority of our consumer AMD-based systems are available through our retail partners and telephone sales...Dell is committed to the AMD product line as a long-term partner to provide flexibility and maximum choice for our customers."

Dell.com will continue to offer desktop and notebook computers and servers with AMD processors for business customers, and a single consumer-oriented desktop model with an AMD processor, while Dell machines with AMD processors can still be had at retailers such as Wal-Mart Stores Inc. and Best Buy Co. Roger Kay, a technology analyst with Endpoint Technologies Associates, said the harm to AMD could be minimal if Dell sticks with AMD processors for machines sold through retailers. But, he said, AMD might be pressured into cutting prices on those chips. Intel declined to comment.

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