AMD's Quest May Benefit Microsoft
Spinner
Birmingham, UK
The antitrust suit filed last week against Intel by its smaller rival, AMD, singles out Microsoft for its willingness to support an innovative processor that AMD pioneered. From the outside, it might seem surprising that the AMD suit doesn't instead criticize Microsoft, given its close ties with Intel as part of what many call the "Wintel" partnership. But the situation illustrates the fact that the interests of Microsoft and Intel aren't always tightly aligned. Some analysts say Microsoft could benefit if AMD is able to become a bigger competitor to the dominant chipmaker.
Source: SeattlePIIt's really an issue between AMD and Intel and (computer makers) in the industry," Microsoft General Counsel Brad Smith said last week. "There's no discussion of Microsoft in any significant way in the AMD complaint."
But if AMD gains more market share and industry acceptance, its emergence as a stronger alternative could give Microsoft more power in its discussions with Intel over the future direction of microprocessors, said analyst Roger Kay, vice president of client computing with IDC. Microprocessors are the brains behind computers, and their specific attributes help determine what a piece of software can do.
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