Dell Takes Step Back From AMD?

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The Wall Street Journal says that Dell has decided to stop selling AMD based systems on its website. The company will still offer AMD powered PCs via phone sales and at retail locations like Best Buy and Wal-Mart.

The big computer company says it still plans to keep selling the AMD-based machines in retail stores and over the phone. But Dell's decision is nevertheless seen as a negative for AMD, which took years to convince Dell to modify its longtime strategy of using only chips from Intel Corp.
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Ouch. Do you guys think that AMD's stock will only take a small hit since Best Buy and Wal-Mart will still sell the machines? Or is this a really big deal?
 
Isn't this the same story that was reported before and was clarified? Engadget posted it up and everyone just copied it? Or is this a NEW story with words from Dell?
 
I think so.

http://blogs.zdnet.com/BTL/?p=7932


Looks like a incorrect story going around.

They aren't pulling AMD off the site.

To ensure we deliver the best value to our customers, Dell regularly adjusts its product offerings, and how customers can purchase those products. Currently the majority of our consumer AMD-based systems are available through our retail partners such as Wal-Mart, Best Buy and Staples, and through telephone sales. Dell also sells a range of AMD-powered business notebooks, desktops and servers online. Certain product ranges or models may only be available through specific channels such as retail or phone. We are committed to the AMD product lines as a long-term partner to provide the maximum choice for our customers.
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That would be a huge kick in the groin for AMD if they lost the Dell contract. AMD's cheap dual cores in the budget systems are actually pretty decent.. but I think they need a miracle CPU and fast.
 
One on hand, (assuming the story is even remotely true) I don't see this being that big a deal. I imagine AMD gets more sales via Dell through retail locations like BBY/WM/etc than directly through their website... OTOH, AMD is struggling enough as it is, and needs all the revenue it can get.
 
It seems like there is at least one of these AMD disaster - "may go out of business" - stories going around every week.

Is this rumor frequency unusually high, or:
Are the writers at the Inq just bored, or
Are the Wall St. boys spewing their usual hyperbole, to make a quick Friday profit, or
Is this an omen of the end times?
 
When I checked this morning using the menus for desktops in all 3 Dell sections, there was only a single AMD model available. Saved e-value code links still work, but those expire when the advertising promotion is over (print, email, etc).

The clarification Dell gave today is that some models will still be available for phone orders and retail, but the AMD desktop offerings online are being cut back to a single model.
 
AMD needs to get their marketing team together to squash these viral reports. And some of these tech sites need to start reestablishing credibility, and a semblance of good journalism. Certainly It's not a good sign when even the Wall Street Journal starts taking the bait.
 
AMD has been through hard times before and they have made it out with a good record. It is just business, when your hot everyone wants a piece of the pie. When the bridges are burning down and no one wants you it is time to go back to your roots and figure out what needs to be done.


KM
 
vista_blista said:
AMD needs to get their marketing team together to squash these viral reports. And some of these tech sites need to start reestablishing credibility, and a semblance of good journalism. Certainly It's not a good sign when even the Wall Street Journal starts taking the bait.
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Point out anything in the link that is untrue:
Dell Pares Back Sales Of AMD-Based PCs
By Don Clark
Word Count: 388 | Companies Featured in This Article: Dell, Advanced Micro Devices, Intel
Dell Inc. has stopped selling most consumer systems that use Advanced Micro Devices Inc. chips through Dell's popular Web site.

The big computer company said it still plans to keep selling the AMD-based machines in retail stores and over the phone and is still using its Web site to sell AMD-powered machines for business users. But Dell's shift is nevertheless seen as negative for AMD, which took years to convince Dell to modify its longtime strategy of using ...
Click to expand...

Anyways, Dell made a public confirmation earlier today:
Dell's entire line of AMD-based laptops for consumers, as well as most of its AMD-based consumer desktops, will now be sold only through Dell's 10,000 retail outlets worldwide, said Dell spokeswoman Anne Camden.
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http://www.infoworld.com/article/08/02/08/Dell-moves-most-AMD-consumer-PCs-offline-to-retail_1.html

Ah, the river denial.
 
Yep, we bitched at Dell for years to get AMD chips into their systems because AMD was kicking Intel's butt in the gaming world. Well, Dell took too long and by the time they came around, AMD was on the decline because of Core 2 Duo. They continued to drop behind and it was like ok, whatever, you can go back to selling all intel now.

Yea, AMD is cheap and all but.....
 
I don't know how true or how big a deal this story is. My company is just going through it's tri-annual PC upgrade cycle, we're getting Dell AMD Athlon 64 X2 based systems to replace Dell P4's (I haven't got mine yet but I believe they are 3600+ Brisbane chips, as a further aside they are still XP sytems not Vista).


I never thought I'd see the day AMD would make serious inroads to a corporate environment, I guess price is the driving factor here and that may just be AMD's salivation.

Maybe they will never be a top enthusiast chip suppliers again, but find margin in this type of low rent application environment.

Who knows?
 
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