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The company is expected to announce the number of lay offs in the next week -- around the time it will be reporting its quarterly financial results

Advanced Micro Devices (AMD) will be cutting as much as 30 percent of its staff before the end of the year.

AMD, which makes processors for PCs and servers, is getting ready to lay off anywhere from 20 to 30 percent of its employees in the next few weeks. The company is expected to announce the number of lay offs in the next week -- around the time it will be reporting its quarterly financial results.

This marks AMD's second big staff cut in a year's time. About a year ago, it cut 10 percent of its employees. At the end of Q2 2012, the company said it had 11,737 employees.

Why is AMD making such drastic reductions in staff? Mainly because it is struggling to compete with other chip makers like Intel. Intel has not only grabbed the PC and server markets, but has also dipped into the mobile market as well, offering tablet and smartphone chips. AMD, on the other hand, hasn't made a push for mobile yet. This is clearly problematic, considering the PC market has been in decline in favor of mobile devices, and chip makers like Intel and AMD have to adapt to stay alive.


In addition to competition, SemiAccurate reported that AMD's board is a huge reason as to why the company was forced to make staff cuts. The report said that AMD's board is "incompetent" and that the company "staffed senior management with toadies who would do their bidding rather than do the right thing." SemiAccurate noted that AMD is mainly cutting engineers, and that AMD likely will not survive with this cut.

AMD has already announced ahead of its quarterly earnings report that that revenue would decrease 10 percent instead of the previously forecasted four percent decrease to two percent increase.

However, AMD is hoping for a brighter future with its first mobile chip release for Windows 8 tablets this year.

AMD is expected to announce quarterly earnings this Thursday.

Source: SemiAccurate



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By T2k on 10/15/2012 1:50:17 AM , Rating: 2
...THEY WILL RUN THE COMPANY INTO THE GROUND, CUTTING ENGINEERS INSTEAD OF THEIR OWN FUCKIN' BONUSES - AND THE STUPID, FUCKIN CLUELESS BOARD, AS ALWAYS, GO ALONG WITH IT.

Well, as a longtime ATI/AMD customer I will say THEN YOU FUCKIN DIE, stupid dumb fucks.




By Vytautas on 10/15/2012 2:26:35 AM , Rating: 2
Not saying you are technically wrong, but saying that the way you did doesn't make you look very smart either. I'm also very dissapointed in this decision and also agree that engineers should be the last place personnel cuts should be made right now at AMD. I just hope they have some better reason than "cut costs" for this strange idea of them.


By inperfectdarkness on 10/15/2012 5:08:30 AM , Rating: 2
i don't want to see AMD die. i remember how it was in the pre-athlon days. back when the fastest chip that AMD could offer was a k6-2.

it takes a LOT to get a company to the point at which they can compete toe-to-toe with intel in chips...and the market was NOT consumer friendly before that happened. all of the falling prices you've seen in the computing market within the last decade+ is because intel finally got some competition. if they become a hegemony again, that $500 laptop is going to cost $1000 again.

that said, it's really sad when a company is ran by an incompetant board of directors. it is how most companies are run though--and i can't really say as i'm surprised at the way in which those companies manifest.


"We don't know how to make a $500 computer that's not a piece of junk." -- Apple CEO Steve Jobs














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