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The Data Storage Report - July 1996 Volume 11, Issue 7


1996
JULY
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1995
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1994
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1993
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1992
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1991
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1990
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1989
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1988
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1987
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1986
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1985
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1984
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DESPITE MULTIMEDIA BRIGHT SPOT, PC BUSINESS OUTLOOK IS GRIM FOR 1996

Joining companies reporting poor performance for the current quarter is Advanced Micro Devices Inc. The Sunnyvale, Calif. semiconductor giant cites sinking unit sales and prices for flash memory as contributing to its shortfall.

These nonvolatile storage devices hold program memory in embedded computers or data and programs in disk drive applications. AMD is the second largest flash memory supplier after Intel Corp. of Santa Clara, Calif. Flash represents about 30% of total company revenue.

However, flash memory is part of AMD’s poor performance. The company has taken too long to field its K5 microprocessor—direct competition for Intel’s Pentium—and its successor, the K6.

As the company struggles, the overall semiconductor industry appears headed for a downturn. Buyers are working off excess inventories and PC makers are looking for fresh demand.

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