AMD Posts Banner 2001 With Market Share Gains In Windows®-Based Desktop PC Markets Worldwide

AMD today announced significant year over year market share growth in 2001 based on shipments for both the commercial and consumer desktop PC markets worldwide, according to Gartner Dataquest.

Overall, AMD’s worldwide market share increased from 18 percent in 2000 to 22 percent in 2001 for Windows®-based desktop shipments, according to Gartner Dataquest.

“2001 marked a banner year for the AMD Athlon™ family allowing us to drive gains in the PC market. It is especially significant that we were able to increase market share within a challenging business climate,” said Ed Ellett, vice president of Marketing for AMD. “AMD’s momentum continues into 2002 with our recent demonstration of our next generation processor, codenamed ‘Hammer.’ We expect to begin shipping the first version of the ‘Hammer’ family of processors at the end of 2002.”

AMD posted gains in several U.S. commercial desktop market segments. From Q4 2000 to Q4 2001, market share in the U.S. small business desktop sector rose from 20 percent to 37 percent and in the U.S. medium business desktop market share increased from 11 percent to 28 percent. For the same quarters, the U.S. desktop education market share grew from 12 percent to 17 percent and growth in the U.S. desktop government sector doubled to 32 percent.

“AMD’s commitment to the white box market is recognized by our continued market share gains in the commercial desktop segment,” said David Somo, vice president of sales and marketing for AMD. “AMD has cultivated close relationships with the North American systems builders to identify, develop and market a broad array of computing solutions that best address the needs of customers in the small and medium business, government and education sectors.”

In other regions of the world, AMD processor-based desktop PCs accounted for 42 percent of PCs shipped to the Japanese home desktop PC market in 2001. AMD ended 2001 with 41 percent market share of home desktop PCs in Western Europe and 28 percent market share of home desktop PCs in Eastern Europe. All figures reflect Windows®-based desktop market segments.

“AMD continues to progressively penetrate the commercial market while fortifying its traditionally strong presence in the consumer market,” said Ellett. “During the year, AMD entered the server and workstation markets with the AMD Athlon MP processor, introduced the AMD Athlon 4 mobile processor and capped the year with the successful launch of the world’s highest performing desktop PC processor, the AMD Athlon XP processor.”

About AMD
AMD is a global supplier of integrated circuits for the personal and networked computer and communications markets with manufacturing facilities in the United States, Europe, Japan, and Asia. AMD, a Fortune 500 and Standard & Poor’s 500 company, produces microprocessors, flash memory devices, and support circuitry for communications and networking applications. Founded in 1969 and based in Sunnyvale, California, AMD had revenues of $3.9 billion in 2001. (NYSE: AMD).

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All figures cited from Gartner Dataquest "Personal Computers Worldwide Quarterly Statistics – Q4, 2001” and research. For more information on accessing a Gartner report, please visit www.gartner.com or call 1-203-964-0096.

Cautionary Statement
This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally preceded by words such as “plans,” “expects,” “believes,” “anticipates” or “intends”. Investors are cautioned that all forward-looking statements in this release involve risks and uncertainty that could cause actual results to differ materially from current expectations. Risks include the possibility that the company will not maintain or grow its PC processor market share, in aggregate or in any particular market segment; that Intel Corporation pricing, marketing programs, product bundling, new product introductions or other activities targeting the company's processor business will prevent attainment of the company's current PC processor sales plans; that the “Hammer” processor will not be introduced on scheduled, will not perform pursuant to its design specifications, and will not achieve customer and/or market acceptance. We urge investors to review in detail the risks and uncertainties in the Company’s filings with the United States Securities Exchange Commission.


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