AMD To Move To Quad-Core Processors By 2007

Addressing analysts at AMD&'s Sunnyvale, Calif., headquarters last week, Phil Hester, corporate vice president and CTO of the chip maker, said quad-core processors that can support up to 32-socket servers will be introduced by 2007. The processors will include Level 3 cache, a first for AMD; an improved memory technology; and a next-generation Hypertransport connection that will support fault-tolerant I/O, he said.

AMD had said previously it expected to release a quad-core part by 2008, an AMD spokesman said. Rival Intel&'s road map calls for quad-core in 2007. Though several solution providers serving the volume server market said dual-core likely would be the dominant chip in 2007, those VARs focusing on high-performance computing welcomed more cores, particularly when coupled with low power consumption.

In the data center, IT managers are looking for ways to increase computing power without increasing space requirements. They are also demanding systems that provide lower power consumption and heat. Matthew Harris, channel director at FusionStorm, a San Francisco-based managed service provider, said lower-power, multicore processors (those with more than two cores) help accelerate server consolidation. “Data managers are [complaining] about heat, power and size constraints they are running into,” he said.

Sun Microsystems, Santa Clara, Calif., just released an eight-core, low power CPU aimed at high-transaction processing. The company is expected to announce servers based on those chips in December, along with rebates from power companies for using the power efficient chips. AMD already touts its processors as low power, and Intel has promised to focus on power consumption in its server processors in 2006.

Nathan Brookwood, an analyst at Insight 64, said he believes if AMD “gets aggressive” it could release quad-core in 2006. “It depends on how quickly they can bring up the 65 nanometer processes,” he said.

AMD recently opened a new fab in Germany and plans to use it to scale down to 65nm from the existing 90nm process. Brockwood said AMD was able to move to a 90 nanometer process in the fourth quarter 2004 and release dual-cores by the second quarter 2005.

Meanwhile, Hester said next year AMD plans to move to DDR 2 memory in its mobile and desktop platforms. Its dual-core Turion should be sampling largely in the first quarter of 2006 and in production by the second quarter. By 2007, AMD expects to offer quad-core, improved cache performance and a new wireless technology, most likely Wi-Max. Marty Seyer, senior vice president of business and performance computing in AMD&'s Microprocessor Solutions Sector, said AMD also will offer a mobile platform to OEMs and systems builders to help speed time to market. That platform will include chipsets with integrated graphics from ATI and Nvidia as well as I/O. The company said the platform will be “open” and will include a variety of manufacturer choices.

AMD executives painted an optimistic picture for 2006, projecting growth at twice the speed of the market. “AMD only has about 10 percent of the market,” said AMD Chairman, CEO and President Hector Ruiz. “We have tremendous growth potential ahead of us.” Ruiz also took a shot at Dell which has yet to enter into a formal relationship with AMD. He said Dell, which recently reported disappointing quarterly results, is looking at a loss of market share if it sticks exclusively with Intel. “Next year we expect to have 20 percent of the market, and that means Dell is out that 20 percent,” he said.

AMD&'s focus will be claiming more share of the commercial market—those companies with more than 100 employees. To that end, it recently launched a program for integrators and a stable image platform. While AMD characterized the programs as “significant,” executives declined to specify projected spending on them in 2006.