I sent this to a bunch of my co-workers, many of them who continuously re-affirm their opinion that AMD is garbage. While there is no question Intel never fails on stability, I take a different approach to this news:
Some people are Monday Morning Quarterbacks. Me, I'm a Friday Freelance CPU Analyst. Today's topic: The Internal Memo from Intel attached above.
I found this information very telling, especially since the company has now confirmed the text in public. The bottom line is that Intel is cancelling the 4GHz P4 to focus on other "performance enhancing" technologies. The reasoning behind the actual ending of the P4's continuous GHz increase is obviously technical; yields with the .09micron process have been notoriously bad and the power requirements/heat output for the Prescott core have been horrific in comparison to AMD's current chips. They could have put out a low-yield P4-4GHz core for a little while, but the engineers finally convinced the marketeers that it wasn't worth the money.
What's fascinating to me is that AMD realized this three years ago when they started producing things like the Athlon XP 1600+, which performed like a 1.6GHz processor but only ran at 1.4GHz. They had to do this to keep up numbers with Intel, who was pushing a P4-based Celeron 1.8GHz that could be outperformed by a P3-based 1.4GHz. And Intel has spent most of the past three years claiming a GHz-gap over AMD as technical superiority; meanwhile AMD has a P4-3.8GHz equivalent, the Athlon64 3800+, which runs at a nice, steady 2.4GHz actual clock speed. And trounces the yet-unreleased P4-3.8GHz in benchmarks. And will likely cost less.
The first sign Intel was wising up was the P4 "Extreme Edition." This included a couple of megs of extra L2 cache to improve performance, but the prices have been so high that not many consumers have been biting. The next sign was Intel's new processor numbering scheme that came out in June; instead of a "P4 3.6," it's called an Intel Pentium 4 360, taking the actual clock speed out of the marketing of the processor. Then we had the revelation that new chipsets were being cancelled to focus on evolution of the Pentium-M platform (which is the evolution of the shorter-pipelined, lower-GHz Pentium 3 core, if you'll recall). Intel also finally admitted that Itanium (IA-64) was NOT a reasonable 64-bit solution, and licensed AMD's 64-bit extensions to put in their own processors (since AMD64 is now the accepted 64-bit platform for Windows, a major coup for AMD) The final nail in the coffin of the P4 was the multi-core demo that AMD did with multi-core Opterons in an HP Proliant DL585. This forced Intel to pull off a hastily-arranged multi-core "technology preview" where no actual muti-core processors were shown, only a proof of concept demo.
Now the announcement that higher caches and multiple cores at lower speeds will be Intel's future in growing performance. How can anyone still question AMD's importance in innovation? Intel's clearly playing catch-up. With AMD undercutting Intel on price while matching or exceeding performance, I am going to re-affirm my membership in the AMD !!!!!! club. Hopefully the competition will allow AMD to gain some marketshare and force Intel to improve their product even further... that way, we all win!