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AMD Reduces Prices on AMD-K6™ MMX™ Enhanced Processor Family
Price Cuts Enable Lower-Cost, High-Performance Desktop Systems
SUNNYVALE, CA -- July 28, 1997 --AMD today announced AMD-K6™ MMX™ enhanced processor price reductions that will lead to lower-priced, high-performance personal computers and reinforce the AMD-K6 processor as the best choice for Microsoft® Windows® compatible computing.
Effective immediately, the AMD-K6/233 processor is priced at $289, the AMD-K6/200 at $189, and the AMD-K6/166 at $109, each in 1,000-unit quantities.
"This price reduction maintains AMD's strategy of selling the AMD-K6 processor for at least 25 percent less than Intel products at comparable performance levels," said Vinod Dham, group vice president of AMD's Computation Products Group. "Our value proposition remains unchanged: no matter how much or how little users want to spend for their PCs, they will get higher performance from systems based on the AMD-K6 processor."
The AMD-K6 processor price reductions will enable AMD customers (PC manufacturers and resellers) to continue to provide leading-edge performance at the most competitive prices in the market. "By reducing prices on the AMD-K6, we're helping the industry give today's PC users what they want at a higher performance, more system features, and lower prices. AMD's product road map includes higher performance versions of the AMD-K6 processor, which we plan to introduce later this year," said Dham.
At equal system prices, PCs based on the AMD-K6 processor can provide superior performance to those based on the Pentium® II processor. Savings provided by the lower-cost Socket 7 infrastructure and lower-cost AMD-K6 processor can be used to enrich the PC user's overall computing experience by allowing extra memory, better graphics acceleration, faster modem, and other performance-enhancing features. As a result, users can get better PCs for the money and superior performance from AMD-K6 processor-based systems.
For equally configured systems, the AMD-K6 processor delivers performance highly competitive with the Pentium II and superior to Pentium with MMX technology at a significantly lower system price.
"The industry recognizes that the AMD-K6 processor is the price/performance leader. Our new lower pricing maintains this leadership position and builds on the momentum of the AMD-K6 established at introduction and during the first full quarter of volume shipments," added Dham.
In one of the steepest production ramps in AMD's x86 processor history, AMD shipped approximately 10,000 AMD-K6 units in the first quarter of this year and more than 350,000 AMD-K6 processors during the second quarter. The rapid learning associated with the steep ramp has allowed AMD to pass the benefits of reduced manufacturing costs along to its customers. AMD plans to produce more than one million units this quarter.
AMD manufactures all AMD-K6 processors at its state-of-the-art Fab 25 wafer fabrication facility in Austin, Texas, utilizing 0.35-micron, five-layer metal process technology. The company's planned migration to 0.25-micron process technology at Fab 25 this year will increase production capacity and enable denser, even more cost-effective processor designs.
"AMD's internal manufacturing capability enables high-volume, cost-efficient production of the AMD-K6 processor family and allows us to reduce prices while enhancing our market presence by strengthening our competitive position," added Dham.
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