Monday, March 7, 2005
The reports from stock analysts suggesting AMD to do something forceful about it's money-losing Spansion flash memory unit are growing.
AMD's flash problem, as cited Thursday by Piper Jaffrey, is Intel and its aggressive price-cutting in flash. "Profits could continue to be elusive for all involved in this market," Piper Jaffrey stated.
Intel has been able to pressure arch competitor AMD by cutting flash prices aggressively, because Spansion accounts for a major percentage of AMD's business while flash is a small percentage of Intel's business.
Spansion is operated jointly by AMD and Fujitsu Limited with AMD owning 60 percent of the unit. Spansion manufactures NOR flash memory, which has enjoyed success in mobile phone handsets, but is increasingly threatened by NAND flash. Spansion is developing new Ornand flash technology, but Ornand isn't expected to have a major impact in the market until next year at the earliest.
By: DocMemory
Copyright © 2023 CST, Inc. All Rights Reserved
|
