Report: AMD plans executive exodus

AMD has brought in some new blood recently. Rory Read took over as CEO in August, and Mark Papermaster recently joined in as Chief Technology Officer. The company may now be preparing itself for a subsequent bloodletting—according to SemiAccurate, the chipmaker is planning some executive layoffs.

The site says these layoffs will take place "in the next two weeks or so." While it doesn’t cite an official source, it says "SemiAccurate moles" confirmed the rumor after spending several days in Silicon Valley. There’s no word yet on who will be getting the axe, nor how extensive the layoffs will be.

AMD enacted repeated mass firings a few years back, when it was hemorrhaging money—once in April 2008, another in November of that same year, and again in January 2009. The company has been profitable for some time now, though; its third-quarter financial results showed growth in both revenue and net income. Perhaps the rumored layoffs have to do with the underwhelming Bulldozer launch.

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    • destroy.all.monsters
    • 8 years ago

    You may as well have posted AMD plans extreme executive exodus for even more alliteration. And sadly – truth.

    • Deanjo
    • 8 years ago

    BSN is reporting that 1400 people are being laid off.

    • OneArmedScissor
    • 8 years ago

    Looks like they’re planning a lot more than that. They just announced they’re cutting 10% of their entire work force over the next several months.

    • ew
    • 8 years ago

    Today I learned it takes two weeks or so to pack a golden parachute.

    • clone
    • 8 years ago

    regarding the housecleaning could be the last stage of the merger.

    everyone keeps talking bout the “bulldozer disaster” like it’s a real disaster, the web is so incredibly fickle, “it’s good or it’s crap” and no room for anything else.

    I was pricing out low end systems and the only option was AMD, AMD prolly doesn’t like that but I as a consumer do, I was looking at mid range and AMD is an option, Intel zealots don’t like that but really do I care about any zealot… ok well a protoss zealot is cool.

    Bulldozer, I see hope, it’s not the underperforming TLB bugged quad that AMD tried to pimp several years ago, Bulldozer with properly assigned software performs quite well tbh in many apps that are optimised for multi core.

    I’d argue Bulldozer is early, I’d say it consumes to much power but I would never say it’s junk because once it comes out in volume the price will drop to far more interesting levels that matter to me far more than absolute performance does.

    are so many mad at AMD because AMD is producing product that is targeted for server more than desktop?

    Nvidia is doing it as well, they are shifting away from gaming / desktop yet it gets so little press…. could be because while late and less focused on PC the product is still competitive while AMD isn’t taking any speed crowns at all.

    what I hate is that Intel isn’t reducing prices on Sandy bridge, what I hate is that Intel is restricting upgrade options, what I hate is that Intel isn’t being forced to compete and they know it….. maybe that’s why ppl are hating on AMD.

      • Yeats
      • 8 years ago

      Bulldonkey.

      Intel has low-cost CPU’s, too. A quick look at Newegg shows Intel has the Sandybridge-based Celeron G530 for $57. Athlon II X2 250 is $62.

      [quote<]are so many mad at AMD because AMD is producing product that is targeted for server more than desktop?[/quote<] AMD is marketing Zambezi for desktops. Therefore, they are to be held accountable for how the FX CPU's perform in that mission compared with their rival, Intel. Is Zambezi "bad"? Not in the sense that it provides nearly every user with enough processing power to accomplish tasks. For several years now there has been an abundance of CPU performance. Is Zambezi "bad" when compared with the competition? Yes, because right now Intel has CPU's that are cheaper, more powerful and more efficient. Taking away the trolls and Intel fanboys, people are hating on AMD because in our world, the technology world, newer is supposed to equal better. For many people, Bulldozer is actually a regression in key metrics, like IPC/thread and IPC/watt and IPC/dollar. It's not hopeless, but it is sad.

        • OneArmedScissor
        • 8 years ago

        Intel’s emphasis on $100 and under has stagnated over the last three years or so. They were a major contender there not too long ago, but AMD has been walking all over them with outdated CPUs, and that’s pretty sad. A $60-ish Intel CPU of today doesn’t really get you more than the 45nm Core 2-based Pentiums – and those were also super overclockable.

          • Yeats
          • 8 years ago

          I agree there’s been performance stagnation in the super-cheap CPU arena, but I don’t think AMD has much – if any – of an advantage. I don’t see where AMD has an advantage over Intel, except where Intel has overclock-locked chips and AMD doesn’t… or maybe if you really granularized price points.

          A very quick Google didn’t turn up any Celeron G530 reviews, but there was a Passmark (yeah, I know…) chart that showed the G530 essentially tied with an Athlon X3 440. FWIW.

          But suppose a $60 AMD CPU [i<]did[/i<] outperform a $60 Intel. clone said [quote<]I was pricing out low end systems and the only option was AMD[/quote<] That's just not true. AMD might be better, but that doesn't make them the only option.

          • Sunburn74
          • 8 years ago

          The 45nm core 2s were nice but power savings over pure raw performance are often preferable at the low end of the CPU spectrum.

    • tejas84
    • 8 years ago

    This is great news.

    After the Bulldozer disaster Rory Read needs to bring in fresh talent to get AMD into a competitive position again. It’s still not too late for AMD to provide decent competition to Intel and ARM.

    Mark Papermaster was an excellent choice for CTO so I think Read will bring in decent talent.

    Rory Read needs to have an en masse firing of the marketing department and that includes John Fruehe…

      • Game_boy
      • 8 years ago

      John is good at what he does. He was just given a bad product to work with. The fact AMD have any server share left at all is because people as good as John still work for AMD.

      Note being good at his job =/= being a good liason for “enthusiasts”.

        • Ringofett
        • 8 years ago

        My understanding was JF did what he did on his free time anyway, and wasn’t actually marketing? Either way, the community ire at Fruehe seems misplaced. He’s the messenger, shoot the product, not him.

        Edit: I dont frequent the forum, but I hadnt heard of the equivalent enthusiast-board regular visitor from Intel, and if anyone has the money to blow on paying a guy to cruise message boards all day its Intel.

          • NeelyCam
          • 8 years ago

          John was doing it on his own time, as a favor to the community. It backfired because he was given sh*t to work with, and was lied to about the BD performance internally. But none of it was his fault.

          And in every post he comes across as a really nice guy.

      • destroy.all.monsters
      • 8 years ago

      John always said he was only the server guy. He took great pains to mention this in every thread he participated in. He made zero claims about gaming or the desktop – and also stated that the 2P workstation market was incredibly small and shrinking and further refused to comment on it either.

      I must’ve read close to a hundred threads he’s posted in – he never promised anything on the desktop/enthusiast side. You are unfairly maligning the guy.

    • sschaem
    • 8 years ago

    Or it could be that AMD is still spending a huge amount of money on non R&D operation? ~100 million a month!

    Example “Mr. Ghilardi joined AMD in August 2008 and act as Chief Sales Officer”
    He makes 3.4 millions a year

    I haven’t seen one executive at AMD that makes less then 2 millions…

    AMD as the room to reduce its operational cost by ~50% without affecting its output, this would add 1 billion a year in pure profit.

    This company is being milked from the inside.

      • Peldor
      • 8 years ago

      While it wouldn’t be hard to find willing replacements (me! me! pick me!) at a fraction of $2 million per head, it:

      A) isn’t going to make their existing chips more competitive
      B) isn’t going to reshape their R&D for years
      C) isn’t going to fix GloFo’s process failures
      D) isn’t going to the shareholders because AMD doesn’t pay dividends
      E) isn’t going to reduce operational costs by 50%
      F) doesn’t equal $100M/month
      G) all of the above

      The only way they’d get to 50% operational cost reduction would be to can a huge portion of the workforce too.

      But supposing they have hundreds of multi-millionaire execs to shoot, and they did find 50% of Operating Expense without gutting the company, it could bump their R&D by a third. Nice in the long run (potentially, if it proves out, Intel still way ahead, yadda yadda), but no quick fix.

      AMD and Intel show the same percentage of revenue spent on operating expenses. AMD’s big problem is their cost of sales/gross margin. Intel is way ahead here, and I don’t think GloFo is going to give AMD a sweeter deal.

        • Game_boy
        • 8 years ago

        Agreed.

        Let’s suppose AMD had all the cash to make a brand new competitive architecture. They would have to:

        – Hire the engineers
        – Build their workplace
        – Train them in the design process
        – Come up with some good ideas Intel hasn’t had
        – Spend more than 5 years designing and prototyping a new design.
        – Spend more than a year taping it out and getting it to market.

        Would only take 8+ years. So BD is what they have and they need to fix that.

      • destroy.all.monsters
      • 8 years ago

      AMD typically pays less than intel for its employees. That’s probably roughly industry standard for that position as crazy as it sounds.

    • Abdulahad
    • 8 years ago

    Advanced Micro Disasters…… no wonder!!!

      • smilingcrow
      • 8 years ago

      Amazing Management Death-cull.

      Sounds like a metal band where every member has an MBA. 😉

        • Wirko
        • 8 years ago

        Oh, a Metal Band Apprentice degree?

      • NeelyCam
      • 8 years ago

      Another Mocked Design?

    • Yeats
    • 8 years ago

    [url<]http://www.youtube.com/watch?v=dGFXGwHsD_A[/url<]

      • Dashak
      • 8 years ago

      [url=http://www.youtube.com/watch?v=Sh8mNjeuyV4&feature=fvwrel<]Better quality[/url<].

    • jdaven
    • 8 years ago

    They might be preparing to be bought by another company.

      • derFunkenstein
      • 8 years ago

      say goodbye to the x86 license. For that reason alone I don’t think they’re an acquisition target.

        • jdaven
        • 8 years ago

        Unless they are going to be acquired by Intel.

          • destroy.all.monsters
          • 8 years ago

          You have been eating too many Fruit Loops. May I suggest you switch to Lucky Charms?

          They *are* magically delicious.

        • Sahrin
        • 8 years ago

        DoJ > Intel

          • NeelyCam
          • 8 years ago

          lol

          • Game_boy
          • 8 years ago

          This, the US government would force Intel to grant the new entity a license. Otherwise Intel would be the only desktop CPU manufacturer in the world overnight.

        • Ringofett
        • 8 years ago

        People say that, and its a concern, but AMD’s new owners I don’t believe have any chance of losing the x86 license. If Intel thought about considering enforcing any contractual right to yank its license, the DoJ would pounce all over it.

        One of those things in life that, sure, might be on paper, but the real world wouldn’t let stand in practice. Anti-trust enforcement is just too strong here in the US (and thats a good thing).

          • destroy.all.monsters
          • 8 years ago

          That means someone would actually want to buy them. Do you see anyone? Typically folks that want to do that want a short-term pump and dump deal. AMD has always been about the long game (much like the Raiders in the 70s).

        • tfp
        • 8 years ago

        If it does happen can we chance the name back to ATI?

    • shank15217
    • 8 years ago

    Its November and there are no 6200 or 4200 Opterons on the market. AMDs bread and butter is in real trouble so heads will roll.

      • JMccovery
      • 8 years ago

      I think the majority of Valencia and Interlagos parts have been sucked up by companies like Cray/HP/Dell filling customer orders (mostly Cray).

      I think Cray had an order for a few million Opterons for XK6 systems.

        • HighTech4US2
        • 8 years ago

        You [b<]"Think"[/b<] How about doing some research so that you would [b<]"Know"[/b<]. The XK5 is being transformed to the XK6. The XK5 has 37,376 six-core Opterons (224,256 cores). The Upgraded system has 50% less AMD CPUs. They are swapping out one AMD CPU for four of Nvidia’s Tesla X2090 GPU coprocessors now and “Kepler” GPUs due later this year So your Millions of the 16-core “Interlagos” Opteron 6200 for the XK6 just became 18,688. And since your Cray data is off by a factor of 100 why should we have any faith in your Hp/Dell orders? [url<]http://www.mcorewire.com/2011/10/13/oak-ridge-changes-jaguar%E2%80%99s-spots-from-cpus-to-gpus/[/url<] [url<]http://en.wikipedia.org/wiki/Jaguar_%28computer%29[/url<]

        • tejas84
        • 8 years ago

        whoa you just got schooled there! nice one HighTech4US2

    • DancinJack
    • 8 years ago

    Ruh roh

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