Advanced Micro Devices Inc. Tuesday will officially launch its Athlon 64 processor, a PC version of its 64-bit server processing technology which promises high performance graphics and high end processing at the desktop and notebook level, backwards compatible with 32 bit applications and operating systems.

The launch sends a warning shot across the bow of the mighty Intel supertanker.

The new entry by AMD beats rival Intel to the punch. Semiconductor giant Intel's CTO Patrick Gelsinger last week at the Intel Developers Forum told reporters that 64-bit processing would not be needed at the PC level for several more years. According to Intel officials, PC operating systems and applications aren't yet ready for the technology.

"This launch will do a lot to boost AMD versus Intel," said Kevin Krewell, senior analyst at In-Stat/MDR. "It differentiates AMD products, and it will be a high performing product, which could improve AMD's position in the market."

Microsoft has made a 64-bit Windows beta available earlier this year and is expected to announce general availability of the OS at the AMD launch Tuesday or soon after. In addition, several Linux operating systems are available to exploit 64-bit hardware. On the applications side, AMD demonstrated Epic Games Unreal Tournament 2003 for 64 bits at Comdex, and that product is currently available.

PC gamers and enthusiasts, or "prosumers," will be a big market for AMD Althon 64, said John Crank, product manager for the 64-bit desktop side at AMD. AMD expects platforms that incorporate the chip to be initially embraced by the PC gaming community and then by consumers who are looking for high end desktop processing to support their digital video and still image editing applications.

In a pre-emptive strike , last week at the Intel Developers Forum Intel announced its own first entry aimed directly at gamers -- Pentium 4 Processor with HT Technology Extreme Edition 3.2GHz, which offers an additional 2Mbytes of cache.

"Pentium 4 Extreme Edition, a server processor in desktop clothes, is Intel's short term response to Althon64," said Krewell. "The real Intel response is Prescott, the 90nm processor expected to ship for revenue this quarter, but which may not launch until Q1 2004."

In addition to the 64-bit capabilities, Althon 64 will also incorporate the memory controller portion of the north bridge onto the same die as the CPU. AMD has said this shift in architecture will further improve the performance of its processor by reducing latency.

But that innovation by itself will not sell processors as much as the fact that it is a design that is different than that offered by Intel.

"Integrating the memory controller represents a different approach to system design," said Shane Rau, senior analyst at IDC. "In this day and age, differentiating is probably a good thing because you can do something better than your competitor. Integrating the memory controller could be a good way to improve overall main memory performance."

Processor start-up Transmeta incorporates the entire north bridge function on the processor, and will be launching its next generation CPU, Efficeon, in mid-October.

"The alternative architecture offered by AMD and Transmeta gives system vendors and consumers choice and that is good," said Krewell. " It is important for Intel competitors to offer differentiated products."

AMD launched its 64-bit server chip, Opteron, in April. Intel's 64-bit server chip, Itanium, first hit the market two years ago.

By: DocMemory
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