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AMD says its not hit by HDD shortages

Posted on Wednesday, December 14 2011 @ 22:09:49 CET by

While Intel expects its revenue will be $1 billion lower than projected due to the HDD shortage caused by the Thai floods in October, AMD CEO Rory Read claims tight supply of HDDs is not an important factor for his company.
Rory Read, chief executive officer of Advanced Micro Devices, said on Tuesday that he did not see tight supply of hard disk drives (HDDs) as a factor that will have a major impact on the company's performance this quarter. By contrast, its arch-rival Intel Corp. has reduced its revenue forecast by $1 billion due to shortages of hard drives.

"I do not see major [HDD shortage-related] pressure in terms of the quarter. It is about executing and delivering. [...] I have been through eleven supply chain market events, battery fires, LCD shortage, memory shortage, I have seen them all [...]. This is a very resilient supply chain. In the beginning of the quarter there were a lot of hard drives supply in the channel and that kept things going pretty well; in Q1 and Q2, maybe you see some manifestations, but I would not bet against the supply chain. From AMD perspective, we have a lot of opportunities given the current market share," said Rory Read, chief executive officer of AMD, during IT Supply Chain organized by Raymond James.
Perhaps the production of its own processors due to poor yields is a bigger problem for AMD than the supply shortage of HDDs.



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