AMD increases the cost of developing new products and technologies

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POSTER: computer news   ||    AMD INCREASES THE COST OF DEVELOPING NEW PRODUCTS AND TECHNOLOGIES	DATE:2017-05-02
At the quarterly report conference, AMD described in detail its plans to bring new products to the market by the end of the year.  And the fact that there is no separate mention of the 16-core versions of Ryzen is not so obvious - in fact, they are the same AMD desktop processors as Ryzen 3, so they can hide behind the common logo on the profile slide of the presentation. Capital expenditures of the company in the first quarter increased by 7.5-9%, depending on the calculation methodology.  Moreover, in the second quarter AMD expects to increase capital costs by 1.6%.  Let in absolute terms, these are not such large amounts, but AMD spends 26-27% of its revenue on developing new products and technologies. Naturally, AMD representatives could not ignore this topic at the quarterly reporting conference.  According to the company's management, now the costs for product development are concentrated in two main segments: graphics solutions and server components.  Moreover, the company recognizes that the transition to 7-nm technology will require an increase in the cost of purchasing photomasks.  The latter, although used only by contractors, are now displayed in accounting reports as AMD property - at least, if we are talking about photo masks used to produce serial products.  The company intends to switch from 14-nm technology directly to 7-nm technology. AMD is quite happy with the output level of both 14-nm and 16-nm products, received from contract manufacturers.  Interestingly, in its information activity AMD is focusing on the development of 14-nm technology, but at such times it turns out that it uses 16-nm technology. Related Products :

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