AMD confirms ''spinning off'' production

In an interview given to the Austin American Statesman, AMD’s new CEO, Dirk Meyer, expanded on its asset smart strategy which was previously described as a major restructuring.

He notably confirmed that by the end of the year his company would move activities related to production to a new company which would most likely not be 100% AMD owned. This possibility had already been mentioned by various sources; however, it was never officially confirmed at such a high level. You may recall, this wasn’t exactly Dirk Meyer’s decision but rather the project on which the former CEO, Hector Ruiz, was working on for some time. Moreover, he is still working on it as he has remained as Executive Chairman and President of the board of directors in charge of asset smart strategy.

This will enable AMD to concentrate on R&D as well as the sales and marketing of its CPUs, GPUs, chipsets and platforms while cleaning up its operations. We will just have to see if this will eventually have an impact on the close interaction and collaboration between circuit developers and production units, something that is indispensable in order to be competitive with Intel.