Intel’s New Chip, A Chance To Mortally Wound AMD

By Douglas A. McIntyre Published Jan 27, 9:05AM EST

Intel (INTC) has come up with a chip architecture that is a sea change in the way that processors operate. Intel claims that it is the most significant evolution in the way that it produces its products since the company came out with its first chips over 30 years ago.

IBM (IBM) says that it is working on a similar technology for producing processors. Apparently so is Texas Instruments (TXN)

Intel rival AMD will have access to the IBM advances, so it is now a race to see which company can get the technology to market first.

Intel has indicated that its new chips will be available in the second half of 2007. The IBM/AMD products may not be available until early 2008, giving Intel a distinct advantage.

Intel has been looking for a "silver bullet" in a effort to get back market share taken by AMD over the last three years. The price battle between the two companies has destroyed margins at both. AMD’s stock has been driven down from $42.70 to under $17 over the last year.

If this is Intel’s coup de grace to AMD, the smaller company’s stock could go much lower.

Douglas A. McIntyre can be reached at [email protected]. He does not own securities in companies that he writes about.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.