Advanced Micro Devices, Inc (NYSE:AMD) advancing with new products
At the start of this week, Advanced Micro Devices, Inc (NYSE:AMD), the front-running microprocessor manufacturer announced its road-map for the future in the leap-frogging embedded-computing market. Apart from the new and enhanced x86 processors, it also unveiled the 1st ARM technology-based processor. This extended its double-powered strategy into the embedded markets. This is the first company to offer customers both z86 and ARM architecture-based solutions to high-performance and low-power embedded compute designs.
Change of strategy
The company is making every effort to reduce its dependency on the conventional Personal Computer market and the one way to do this is to spotlight on the new growth markets. Even until 2012, Advanced Micro Devices, Inc (NYSE:AMD) accrued around 95% of its revenue from the conventional PC market. But a segment of its restructuring plan now focuses on getting 10-50% of revenue from the high-growth business such as semi-custom, embedded solutions, professional graphics, ultra low-power client and dense server over the next 2-3 years. The company says that it right on track to eke 20% revenue from non-conventional markets by the end of 2013.
The next question is whether the embedded processors market is really so big. The answer to that is a big yes. The embedded x86 market is projected to touch $7B by 2016. In a recent VDC report it was stated that there will be a 36% growth in the intelligent and traditional embedded CPU systems over the next few years. It will grow from 330M units in 2013 to more than 450M units by 2016. The ARM and x86 architecture in combination is projected to account for 82 percent of the total market.
Advanced Micro Devices, Inc (NYSE:AMD) is positioning itself right to take advantage of this expected growth. It has an impressive lineup of products and the shipping for these products will commence in 2014. The 4 new processors that are being launched are- the Hierofalcon CPU SoC Family, The Bald Eagle APU & CPU, the Step Eagle APU SoC and Adelaar Discrete GPU.