Category: History & Society
- Date:
- 1969 - present
- Ticker:
- AMD
- Share price:
- $178.29 (mkt close, Jan. 24, 2024)
- Market cap:
- $269.47 bil.
- Annual revenue:
- $22.11 bil.
- Earnings per share (prev. year):
- $1.9
- Sector:
- Manufacturing
- Industry:
- Electronics
- CEO:
- Lisa T. S
- Headquarters:
- Sunnyvale
Advanced Micro Devices, Inc. (AMD), global company that specializes in manufacturing semiconductor devices used in computer processing. The company also produces flash memories, graphics processors, motherboard chip sets, and a variety of components used in consumer electronics goods. The company is a major supplier of microprocessors (computer chips). AMD is based in Santa Clara, California.
AMD was founded in 1969 by Walter Jeremiah (“Jerry”) Sanders, a former executive at Fairchild Semiconductor Corporation, and seven others. The company released its first product in 1970 and went public two years later. In the mid-1970s the company began producing computer chips. Starting out as a second-source manufacturer of computer chips, the company placed a great emphasis on quality and grew steadily. In 1982 the company began supplying second-source chips for Intel Corporation, which made the microprocessor used in IBM personal computers (PCs). The agreement with Intel ended in 1986. In 1991 AMD released the Am386 microprocessor family, a reverse-engineered chip that was compatible with Intel’s next-generation 32-bit 386 microprocessor. There ensued a long legal battle that was finally decided in a 1994 U.S. Supreme Court ruling in AMD’s favour. That same year, Compaq Computer Corporation contracted with AMD to produce Intel-compatible chips for their computers.
In 1996 AMD acquired a microprocessor company known as NexGen and began branching out from the Intel-compatible chip market. In 2000 AMD introduced the Athlon processor, which was designed to run the Microsoft Corporation’s Windows operating system. With the release of the Athlon processor, AMD became the first company to produce a 1-GHz (gigahertz) microprocessor, which marked AMD as a serious competitor in the chip market. In 2003 the company released the Opteron chip, another product that showcased the company’s ability to produce high-end chips. In 2006 AMD absorbed ATI Technologies, a manufacturer of video graphics cards for use in PCs. In 2008 AMD announced plans to split the company in two—with one part designing microprocessors and the other manufacturing them. This announcement followed news that the Advanced Technology Investment Company and the Mubadala Development Company, both based in Abu Dhabi, would acquire a controlling interest in AMD, pending approval by shareholders and the U.S. and German governments.
In 2009, following a series of complaints lodged by AMD, the European Commission fined rival Intel a record €1.06 billion (£948 million; $1.45 billion) for engaging in anticompetitive practices that violated the European Union’s antitrust laws. These practices allegedly involved financially compensating and providing rebates to manufacturers and retailers who favoured its computer chips over those of AMD, as well as paying manufacturers to cancel or postpone the launching of products utilizing AMD’s chips.
In 2014 the company was restructured into two parts: computing and graphics, which made processors for personal computers, and enterprise, embedded, and semi-custom, which made more-specialized processors.
The Editors of Encyclopaedia Britannica This article was most recently revised and updated by Erik Gregersen.
As a seasoned technology enthusiast and industry analyst, I've closely followed the trajectory of Advanced Micro Devices, Inc. (AMD) over the years. With a comprehensive understanding of the semiconductor market and a deep dive into AMD's history, innovations, and strategic moves, I can shed light on its evolution and significance in the electronics industry.
AMD, founded in 1969 by Jerry Sanders and a group of visionaries, has left an indelible mark on the world of computing. The company's early days saw it emerge as a key player in the semiconductor landscape, initially focusing on second-source manufacturing of computer chips. This strategy paved the way for strategic alliances and technological advancements, propelling AMD into the limelight.
One pivotal moment in AMD's history was its legal battle with Intel over microprocessor technology, culminating in a landmark U.S. Supreme Court ruling in 1994. This victory not only validated AMD's innovation but also solidified its position as a formidable competitor in the market.
AMD's foray into microprocessor design with the Am386 and subsequent releases like the Athlon and Opteron processors showcased its prowess in pushing technological boundaries. The acquisition of NexGen in 1996 marked a strategic shift, enabling AMD to diversify its product portfolio and explore new avenues in chip design.
The company's acquisition of ATI Technologies in 2006 further underscored its commitment to innovation, particularly in the realm of graphics processing. The subsequent restructuring in 2014, dividing AMD into computing and graphics, and enterprise segments, reflected its evolving focus on specialized processors and market demands.
Notably, AMD's legal battles with Intel, including the European Commission's record fine in 2009, underscored the company's resilience in navigating competitive landscapes and advocating for fair competition within the industry.
Today, under the leadership of CEO Lisa Su, AMD continues to redefine computing paradigms with groundbreaking innovations, from high-performance CPUs and GPUs to custom semiconductor solutions tailored for diverse applications.
Now, delving into the concepts used in the provided article:
- AMD (Advanced Micro Devices, Inc.): A global semiconductor company specializing in the design and manufacture of CPUs (central processing units), GPUs (graphics processing units), and other semiconductor devices.
- Sector: Manufacturing, Industry: Electronics: AMD operates in the manufacturing sector, specifically in electronics, producing a wide range of semiconductor products.
- CEO: Lisa T. Su: Lisa Su serves as the CEO (Chief Executive Officer) of AMD, leading the company's strategic direction and overseeing its operations.
- Headquarters: Sunnyvale: AMD's headquarters are located in Sunnyvale, California, USA.
- History (1969 - present): The article provides a historical overview of AMD, highlighting key milestones, such as its founding, legal battles with Intel, strategic acquisitions, and product innovations.
- Revenue and Financials: AMD's annual revenue, earnings per share, share price, and market capitalization are provided, offering insights into the company's financial performance and market valuation.
- Legal Battles: The article references AMD's legal disputes with Intel, including antitrust allegations and fines imposed by regulatory bodies.
- Acquisitions: AMD's acquisitions of NexGen and ATI Technologies are mentioned, reflecting its strategic initiatives to expand its product offerings and technological capabilities.
- Restructuring: The article discusses AMD's restructuring efforts, dividing the company into distinct segments to better align with market dynamics and customer needs.
- Technological Innovations: AMD's technological innovations, such as the Athlon and Opteron processors, signify its contributions to advancing computing performance and capabilities.
In summary, AMD's journey from its inception to its current standing as a leading semiconductor company underscores its resilience, innovation, and strategic vision in shaping the future of computing and electronics.
