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AMD vs. INTEL Case Study

AMD and Intel have been competitors in the microprocessor market since AMD's founding in 1969. Intel has long dominated the market, holding around 83% market share compared to AMD's 15%. Intel's strategy of continuous innovation and powerful new processors has allowed it to outpace competitors. However, AMD has tried to gain ground through strategies like highlighting Intel's weaknesses and becoming OEMs' preferred vendor. Going forward, Moore's Law predicts Intel and AMD processors will reach speeds of 8.3GHz and 7.2GHz respectively within five years. Intel remains the clear market leader due to its larger revenue, production capabilities, and focus on high-performance chips.

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2K views

AMD vs. INTEL Case Study

AMD and Intel have been competitors in the microprocessor market since AMD's founding in 1969. Intel has long dominated the market, holding around 83% market share compared to AMD's 15%. Intel's strategy of continuous innovation and powerful new processors has allowed it to outpace competitors. However, AMD has tried to gain ground through strategies like highlighting Intel's weaknesses and becoming OEMs' preferred vendor. Going forward, Moore's Law predicts Intel and AMD processors will reach speeds of 8.3GHz and 7.2GHz respectively within five years. Intel remains the clear market leader due to its larger revenue, production capabilities, and focus on high-performance chips.

Uploaded by

ASHISHZENITH
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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CASE STUDY

AMD vs. INTEL


Competitive Challenges
Submitted to:
Prof. Rekha
GROUP MEMBER :
PATEL AKASH :
PRAJAPATI VISHAL :
PATEL ASHISH :
MICRO PROCESSOR:
INTRODUCTION
• History of AMD :

• Founded on May 1, 1969 by Jerry Sanders and seven


friends, AMD's first product was a 4-bit shift register.

• AMD is an American multinational semiconductor company based


in Sunnyvale, California, that develops computer processors and
related technologies for commercial and consumer markets.

• AMD is the second-largest global supplier of microprocessors


based on the x86 architecture and also one of the largest supplier
of graphics processing units. It also owns 8.6% of Spansion, a
supplier of non-volatile flash memory.  
• In 2003, AMD debuted the Opteron for servers and high-end
workstations, the first 64-bit x86-compatible CPU on the
market.

• AMD announced a merger with ATI Technologies on July 24,


2006.

• In October 2008, AMD announced plans to spin off


manufacturing operations in the form of a multibillion-dollar
joint venture with Advanced Technology Investment (ATI)
Co., an investment company formed by the government of
Abu Dhabi.

• In 2009, AMD ranked eighth among semiconductor


manufacturers in terms of revenue.
FEATURE OF PRODUCT
• All AMD-designed chips have been noted for
their cool-running, innovative architectures.
PRODUCT OF AMD:
1) Microprocessors,
2) Motherboard chipsets,
3) Embedded processors 
4) Graphics processors for servers,
5) Workstations and personal computers,
6) Processor technologies for handheld devices,
7) Digital television,
8) Automobiles,
9) Game consoles, and other embedded
systems applications.
History of Intel :
• Intel was founded in 1968 by Gordon E.
Moore and Robert Noyce.
• Intel headquarters in Santa Clara, USA

• ORIGIN OF THE NAME:


– They used the name NM Electronics for almost a year,
before deciding to call their company
Integrated Electronics or Intel for short. However, Intel
was already trademarked by a hotel chain, so they had
to first buy the rights for the name
• By 1970 the company became highly
competitive DRAM, SRAM AND ROM market.
• In 1981 intel entered into a strategic alliance
with IBM in which IBM WILL USE intel’s
microprocessor for it desktops models
• Acquisition of McAfee - Performance, Power
and now Protection
• On 19 August 2010, Intel announced that it
planned to purchase McAfee, a manufacturer
of computer security technology.
Intel's competitors
OTHER TOP SEMICONDUCTOR COMPANIES
AMD, 
Samsung,
Texas Instruments,
Toshiba and 
STMicroelectronics.
COMPETITORS IN PC CHIP SETS:-
AMD, 
VIA Technologies, 
SiS, and Nvidia.
INTEL'S COMPETITORS IN NETWORKING INCLUDE FREESCALE
Infineon, 
Broadcom, 
Marvell Technology Group and
AMCC
COMPETITORS IN FLASH MEMORY
Spansion, 
Samsung, 
Qimonda, 
Toshiba, 
STMicroelectronics,
Hynix.
Intel Products

1) Microprocessors
2) Flash memory
3) Motherboard
4) Chipsets
5) Network Interface Card
6) Bluetooth
7) Chipsets
Intel company has provide facilities
• Argentina 
• China, 
• Costa Rica, 
• Malaysia, 
• Mexico, 
• Israel, 
• Ireland, 
• India, 
• Philippines, 
• Poland, 
• Russia, and 
• Vietnam internationally.
 COMPARISION OF BOTH THE COMPANY :-

User Requirement AMD INTEL

Power Consumption Less efficient than Intel More efficient than AMD

Price Range Lower Higher

Cooling Factor Heats up faster Runs cooler for a longer duration

Performance Speed Not very Fast, compared to Intel Faster than AMD

Better multimedia output due to


Gaming and Multimedia Not very good for gaming
faster clocking

Performance : Price High:Low High:High

NO(Pentium 4)
3D Gaming YES(Athlon)
YES(Quadcore and Core 2 Duo)

NO(Pentium 4)
Graphics YES(Athlon)
YES(Quadcore and Core 2 Duo)

MP3 and Video Encoding faster SOME WHAT


CHIPMAKER MARKET SHARE

INTEL 83%

AMD 15%

OTHER CHIPMAKERS (CYRIX, 2%


IDT etc.)

AMD INTEL
Revenue US $ 5.4 billion (2009) US $ 35.127 billion (2009)

Operating income US $ 664 million (2009) US $ 5.711 billion (2009)

Net income US $ 293 million (2009) US $ 4.369 billion (2009)


Future Forecast
• Based on Moore’s theory in the next five years
we shall see Intel manufacturing an 8.3Ghz
processor and AMD a 7.2Ghz processor based
on current processor speeds.
QUESTIONS
1) Strategies of INTEL & AMD for getting leadership
in chip industry?
• INTEL:
Intel's strategy of producing ever-more-powerful
processors and obsolescing their predecessors
stumbled,  leaving an opportunity for rapid gains by
competitors

• AMD:
a) Devalue the Intel brand,
b) Eliminate Intel's technical advantage, and
c) Be the OEM vendor of choice.
2) What lessons should amd learn from intel?
High performing computer
More investment in R&D
Innovation in products
 Strengthen distribution channel.
High and well trained staff.
Differentiating strategies
3)What makes Intel leader? Or why Intel in first position
in market?
Highly Productive Plants( Produce Max. Units A Day)
Multiple Role
High Performing And Reliable Computer Chips
Working With Customer To Share Vision Of Company
Market Share Of Customers
Good Brand Values
High Expertise Engineers
Specific Focus E Group(hospital Record Sand Tablets)
Customer Awarness
Conclusions
• Intel is clearly the market leader in the
manufacture of microprocessors based on
their revenue forecasts and market share
dominance. Intel has 6 times the number of
employees the AMD. 
• Comparisons of High End Processors proves
that Intel is better processors like for like with
AMD.
RANK IN 2009
Thank
you
Any
question

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