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AMD Welcomes Actions By Austria And Ireland To Promote Competition In Government IT Procurement Practices
-Governments issue new guidelines aimed at eradicating discrimination in public tenders-
SUNNYVALE, CA -- October 5, 2005 --AMD (NYSE: AMD) supports the publication of new computer hardware procurement guidelines by Austria’s Bundeskanzleramt and the National Public Procurement Policy Unit (NPPPU) of Ireland’s Department of Finance. The guidelines are intended to assist procurement authorities in the two countries promote competition and obtain the best technology at the best price by avoiding descriptions that could lead to discriminatory and non-competitive bids.
“AMD welcomes the Austrian and Irish governments’ actions precisely because they are designed to fuel competition in public technology procurement,” said Giuliano Meroni, AMD’s corporate vice president, Sales and Marketing, for Europe, the Middle East and Africa. “In countries across Europe and around the world, ensuring that public sector IT procurement is based on tried and true principles of fair and open competition brings value to taxpayers and governments alike. By taking measures to eliminate discrimination based on product or brand names or other partial technical features, governments worldwide can ensure that they obtain the best technology at the best price.”
The use of certain supplier brands or products in public tender documents as well as of some partial technical features such as the clock rate or the cache of the microprocessor are illegal under established European Union procurement law (e.g. EU directive .93/36). The publication of the Austrian and Irish guidelines follows similar publications already issued by the Belgian, French, German, Italian, Swedish, UK, Japanese, Canadian and U.S. governments.
The guidelines issued by the Irish NPPPU stipulate that “in the award of public contract, contracting authorities must avoid the use of restrictive technical specifications…Technical specifications must not refer to a specific brand, source, trade mark, patent or particular process which would have the effect of favouring or eliminating certain undertakings or certain products.” Instead, the NPPPU stipulates the use of performance-based specifications using appropriate benchmark methodologies, specifically SYSmark® 2004. The full text of NPPPU-issued Guidance on use of Generic Technical Specifications can be found on
http://www.etenders.gov.ie/guides/Guides_show.aspx?id=523.
The Austrian Bundeskanzleramt guidelines similarly forbid the use in public tenders of brand names and other parameters such as the clock rate of the microprocessor that are not directly related to performances, because of their discriminatory nature. Instead, the Bundeskanzleramt designates that technical specifications should include a general use-based description of the computer, the type of processors it requires, and guidelines for benchmark procedures. The full text of its circular regarding technical specifications for invitations for tenders in the IT field can be found on
http://www.bka.gv.at/Docs/2005//1/18/IT-ausschreibungen.pdf.
AMD’s Position on Fair and Open Competition
AMD stands for fair and open competition and the value and variety competition delivers to consumers. Businesses and consumers should have the freedom to choose from a range of competitive products that come from continuous innovation on a level playing field where everybody plays by the same set of rules. When market forces work, consumers have choice and everyone wins.
About AMD
AMD (NYSE:AMD) designs and produces innovative microprocessors, Flash memory devices and low-power processor solutions for the computer, communications and consumer electronics industries. AMD is dedicated to delivering standards-based, customer-focused solutions for technology users, ranging from enterprises to government agencies and individual consumers. For more information visit www.amd.com.
AMD, the AMD Arrow logo, AMD Opteron and combinations thereof, are trademarks of Advanced Micro Devices, Inc. Other names are for informational purposes only and may be trademarks of their respective owners.
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