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The No. 2 processor maker wants to make one thing crystal clear: Shanghai is not Barcelona. The latter chip was rolled out in September 2007 to great fanfare only to be delayed a whopping eight months (or more, depending how the delay is calculated) due to production glitches and bugs. The chip was also hampered by speed (core clock frequency) limitations. This gave Intel an opportunity to regain ground it had lost to AMD in the server chip market.

"We had some mis-starts in getting Barcelona to market and wanted to bring as much velocity to Shanghai as possible. Learn from our mistakes and, as a company, never do that again," said Pat Patla, general manager of AMD's server and workstation chip business.

Shanghai--a quad-core product targeted at servers--will be AMD's first 45-nanometer processor. (Barcelona is 65-nanometer.) Typically, the smaller the geometries, the faster and more power efficient the chip. Intel has been shipping 45-nanometer processors since last year and these processors now make up most of Intel's offerings.