Part 1 – Background of the Study

AMD (Advance Micro Device) is the second largest maker of personal computer
microprocessors after intel. They also make flash memory, integrated circuits for networking
devices, and programmable logic devices. AMD reports that it has sold over 100 million x86
(Windows-compatible) microprocessors as a standalone device or as incorporated into an
accelerated processing unit (APU), chipsets, discrete graphics processing units (GPUs) and
professional graphics, and, server and embedded processors and semi-custom System-on-
Chip (SoC) products and technology for game consoles. The Company's segments include
the Computing and Graphics segment, and the Enterprise, Embedded and Semi-Custom
segment. The Computing and Graphics segment primarily includes desktop and notebook
processors and chipsets, discrete GPUs and professional graphics. The Enterprise,
Embedded and Semi-Custom segment primarily includes server and embedded processors,
semi-custom SoC products, development services, technology for game consoles and
licensing portions of its intellectual property portfolio. The Company sells its products through
its direct sales force and through independent distributors and sales representatives in both
domestic and international markets. Its microprocessor customers consist primarily of original
equipment manufacturers (OEMs), original design manufacturers (ODMs), system builders
and independent distributors in both domestic and international markets.

AMD encountered the market problem in the first quarter of 2018. Recently, AMD has made a
push to challenge Intel with its new Ryzen chip architecture, which has so far seen some success as
a more affordable alternative to high-end CPUs. In fact, over the past 12 months, shares of AMD have
seriously outperformed Intel. However, it is likely that Intel will respond to this challenge by releasing
its own new and improved next-generation processors as the two companies duke it out into the
future. In all likelihood, Intel will remain dominant with AMD a distant second. Still, that distant second
is also likely to be the only real competition that Intel has in the PC-centered CPU market. By
releasing new Ryzen chip architecture AMD created the risk in the market. Intel released new sets of
Intel chip and processors which are better than the Ryzen chip architecture. Intel got almost more
than 60% global market share in the first quarter of 2018 while AMD got less than 40% of the global
market share.

After the releasing of the said Ryzen chip architecture

Part 2 – Statement of the problem

2.1

Part 3 – Alternative Courses of Action

3.1 Enumerate the cause of the financial risk, mitigate the risk and benchmark in other
competitors for the products to be competitive in the market. Creating competitive
products in the market can help the company to increase the liquidation ratio.

3.2 Change the marketing strategy to increase the sales.

Part 4 – Recommendations

Part 5 – Conclusion

Part 6 – Bibliography

https://www.cpubenchmark.net/market_share.html