AMD to Layoff 710 Employees, Revenue Drops 16% - News
by William D'Angelo , posted on 17 October 2014 / 8,539 Views
AMD has continued to struggle against its main rival Intel. The CPU maker has released its forecast for the latest quarter. Revenue is expected to drop 16 percent when compared to the previous quarter to around $1.2 billion.
Due to the drop in revenue AMD has revealed it is laying off seven percent of its workforce. That is about 710 employees will be laid off. The layoffs will cost AMD $57 million in the current period and $13 million in the first half of 2015. However, it is expected to save the company about $85 million next year.
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A life-long and avid gamer, William D'Angelo was first introduced to VGChartz in 2007. After years of supporting the site, he was brought on in 2010 as a junior analyst, working his way up to lead analyst in 2012. He has expanded his involvement in the gaming community by producing content on his own YouTube channel and Twitch channel dedicated to gaming Let's Plays and tutorials. Outside, in the real world, he has a passion for the outdoors which includes everything from hiking to having received his B.A. in Environmental Studies. You can contact the author at wdangelo@vgchartz.com or on Twitter @TrunksWD.
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I'd have never thought that this site would do an article on AMD's financials ...
This is just exactly what I was expecting from AMD ...
you figured with the PS4 and the x1 both using AMD that they would be sitting pretty.
If AMD supplies the gpu's for WiiU, Xbox1, and PS4 how can they not be making money. Now I know they have likely bartered a deal at a skimpy profit margin, but sheesh you have to do it to where you make some kind of profit, right?
why can't they innovate in the CPU space? Intel's near monopoly sucks for prices and performance evolution.
R&D costs a lot of money. Intel spends quite a bit - AMD can't. The gap will only get bigger. AMD will probably stop any effort into performance-grade CPUs. It's kinda sad - I remember AMD leading for a while, but their own inability to reap the rewards combined with Intel's shady tactics at the time stopped them from going any further and becoming a real competitor to Intel. At least they're still competitive in the GPU department and I hope it'll stay this way.
people vote with their wallet and no one is being forced to buying Intel CPU's, as for performance the G3258 is very good for it's price and performs exceptionally well, if AMD want to innovate in the CPU space maybe a new CPU socket with more efficient cores and newer technology like Intel could have helped them instead of constantly pushing 4 year old tech (AM3+), even AMD's attempt at stalling Intel's integrated GPU hasn't really been all that innovative especially when their current top APU is more expensive than an Intel G3258 and Nvidia GTX 750Ti combined (i know Nvidia is not Intel but it still does not change the fact the APU is over priced).
Shame. I think they have struggled due to inept coding from programmers. If programmers had learnt about multicore programming (as you would expect) a few years ago, AMD would have battered Intel. But due to Offices being stuck on Windows XP and consoles stuck with old cpus, no one bothered.
That's not true at all! You have no idea how hard it is to do multithreading. If anything it's AMD's fault for trying to venture this idea being unprepared. They never thought about the repercussions of synchronization overheads. At least with Intel they're doing it better with their new TSX extension. It makes no difference in how many cores you throw at the problem when the communication overhead outweighs the performance gains from the other cores.
