Advanced Micro Devices, Inc. (NASDAQ:AMD) Suffers Losses Driven By Micron Technology’s (NASDAQ:MU) Weak Quarterly Reports


Dallas, Texas 06/29/2015 (Financialstrend) – Advanced Micro Devices, Inc. (NASDAQ:AMD) was down by 4.26% in Friday’s trading session, Sharply reacting to Micron Technology (NASDAQ:MU) weak guidance for the year. The company also missed analyst’s estimates.

Micron Technology’s disappointing performance was attributed to a fall in PC sales, price-pressures in the DRAM industry as well as a manufacturing process that was in the process of transiting. In the meanwhile, another of AMD’s peer, and competitive player, Nvidia Corporation (NASDAQ:NVDA) remained on-course at the stock market, without major slides or gains. Many other technology players, in the chip making industry, including Intel set-off to moderate starts as well.

Advanced Micro Devices Inc. (NASDAQ:AMD) itself has had a mixed week thus far, with a solid start which petered down to selloff by the end of the week. The reason for the downturn was attributed to the new GPU product, Fury X. Considered as a flagship product; it is yet to see a rousing acceptance by the user community, which has embraced other brand/company products such as, Nvidia’s GTX 980 Ti. The sale of Fury X appears affected because of the price tag of $649 for the graphics cards MSRP; while the GTX 980 Ti is priced $649 in 2K and 1080 p tests. Besides, GTX 980 Ti boasts of overclocking and power consumption.

For its part, AMD has attempted to improve Fury X over other AMD GPUs on the factor of power consumption as well as overclocking. But the fact has to be mentioned that the latter are high-end GPUs and hence suffer from the issues. But industry experts do share that Advanced Micro Devices Inc. (NASDAQ:AMD) is definitely headed for a close market competition with its immediate competitors. Fury X is not expected to be ‘the’ product which will ensure AMD to dominate this product segment, however, it does ‘make GPU market interesting’ according to Ars Technica.

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