Analysts Predict AMD & Intel will Struggle in 2009
Posted 11/16/08 at 07:15:04 PM by Justin Kerr
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The slowdown in the economy continues to trickle down into the technology sector and new warnings have been issued for both AMD and Intel. According to the marketing research firm IDC; "The supply chain is telling us that there is strong concern for demand decline." As a result IDC, and many other firms are cutting their processor growth forecast to around 2-5 percent for fiscal 2009.
This negative outlook on the global PC market had a crushing effect on the earnings forecasts of both companies. Investment bank Friedman Billings Ramsey has slashed its fourth-quarter earnings expectations for Intel to a meager 30 cents per share, down from a previous estimate of 36 cents. AMD also takes a hit jumping from a 19 cent per share loss to as much as 24 cents. Obviously the situation is much worse for AMD who continues to struggle to find its way out of the red, but both companies are facing challenges.
Wall Street analyst firm ThinkEquity predicts much of the weakness will come from softer corporate notebook demand. According to Avon Securities; "PC OEMs...are worried about having too much inventories if end-market demand comes in materially weaker than expectations this holiday season."
Are you holding back on your PC purchases amidst the economic uncertainty? Help us conduct our own informal survey.
I'm not struggling.
Submitted by atomaweapon on Mon, 11/17/2008 - 3:35pm
I'm not struggling.
Wow
Submitted by skhills on Mon, 11/17/2008 - 10:11am
Looks like you've found the most heated headline of the week. Next up, lets debate religion.
Philosophy of Greed
Submitted by tfox on Mon, 11/17/2008 - 8:57am
As I see it there is nothing uncertain about our economy. It stinks. And yes, like so many others I have forgone a very necessary upgrade and/or replacement of my computer. The reason should be painfully obvious to anyone. We can’t afford the outrageous prices being charged by manufacturers, service providers and retailers. Here is the problem; roughly ten years ago some Wallstreet dork determined that no business entity was getting more than 3% of any customer’s disposable income. (According to the feds, about 20% of the average Americans income was disposable.) The afore mentioned dork stated that each business should be trying to get that 20%. The problem with this of course is that there isn’t one mega corporation providing all goods and services. There are thousands of businesses vying for a piece of that 20%. Unfortunately business bought into this philosophy of greed and now everyone is paying the price for the foolish choices made a decade ago.
Tracy Fox
"High tech is cool, but low tech rules."
Submitted by Xyphus on Mon, 11/17/2008 - 6:36am
I was planning an upgrade to my existing PC (I always build my boxes, I haven't purchased a store-bought PC yet...) However, after having to replace our 9-year old furnace, it looks like my upgrading plans have pretty much been cancelled out for the next year or so...
Hopefully I can get a little more milage out of my current system. I upgraded my video card and slapped in an extra Gig of RAM. (replaced my aging 7950GT with an 8800GT, and bumped up to 3GB of RAM). The AMD X2 4800+ CPU is just going to have to do for now. I'll see if I can't juice a little more umph out of it by overclocking...
Looks like my Quad-Core plans will just have to wait...
I'm holding back because............
Submitted by ghot on Mon, 11/17/2008 - 6:03am
The whole damn computer industry is insane at the moment.....a $300 alarm clock....lol a $1000 dollar music streaming device, you're kidding right. $300-$400 earphones...can I get a wtf over!! The ONLY problem with the computer industry is the fact that idiots actually pay for this crap in the first place. Here's my lowly $1200 computer components:
Motherboard:
ASUS M2N32 SLI Deluxe, Wireless EditionProcessor:
AMD Athlon 64 X2 5000+ (Black Edition) Brisbane 2.6GHz Dual-Core (Overclocked to 3.2Ghz)CPU Fan/Heatsink:
ZALMAN CNPS9500AT 2 Ball CPU Cooling Fan/HeatsinkMemory:
CORSAIR Dominator 2GB (2 x 1GB) 240-Pin DDR2 1066 (PC2 8500) Dual ChannelVideo Card:
EVGA 01G-P3-1280-AR GeForce GTX 280 1GB 512-bit GDDR3 PCI Express 2.0Hard Drive # 1:
WD 36GB 10,000rpm Raptor SATAHard Drive # 2:
Seagate 80GB 7200rpm SATAOptical Drive # 1:
Lite-On LTR-52246S CD/RWOptical Drive # 2:
Lite-On LH-18A1P CD/DVD BurnerPower Supply:
PC Power & Cooling Silencer 750 Quad (Black) EPS12V 750W Continuous @ 40°C (825W Peak) Power SupplyCase:
Full Tower (Gerneric) 5x 80mm case fans (2 front intake, 2 rear exhaust, 1 sisde exhaust)Sound Card:
noneMonitor:
ViewSonic G90FB Black 19" CRT Monitor
...and i can play Crysis on HIGH without any lag or artifacts....why should I spend $8000 on a system that can play Cyrsis at extreme resolutions on an overpiced gargantuan monitor that I have to sit acroos the room to even see the whole thing? Somewhere along the line, people have become convinced that, if their comp isn't the best or most expensive comp on the block....that they are less of a person. I wonder who started that line of thinking?
On the why am I waiting to buy question: I'm waiting till ATI, INTEL, AMD, nVidia and the software devs settle on a STANDARD....I'm sick to death of having to mix and match components and games to get a sytem that works without all the heartache. I'm sick of all the licensing crap that means I can't run this vid crad in this mobo, or I have to accept a mobo with a crap chipset, or I have to run it all on an OS that just gets worse and worse as time goes by.
I should be able to buy ANY motherboard, pair it with ANY RAM or vid card, and have ANY game or app run on it. It's just getting out of hand.....so if I gotta wait a year or three till they get their act together....fine by me :)
Itz da prez, not da munniezz
Submitted by bbies1973 on Mon, 11/17/2008 - 12:55am
My next computer purchase is going to be delayed. Not because of the global economic slump, but because of who we elected this month. With gun control advocates now firmly in control of all three law-making parts of the government (the executive and both halves of congress), my money has another priority.
Well, if crime fighters fight crime and fire fighters fight fire, what do freedom fighters fight? -G. Carlin
Submitted by pagen64 on Mon, 11/17/2008 - 6:23am
WHAT! what does the president elect have to do with the computer industry right now? You are a paranoid person my friend, If you have'nt been afraid of the current administration in office for the last 8 years, Who were just to willing to blow everything up. I think you have nothing to worry about the next one. Stop listening to Sean Hannity and Rush Limbaugh. And save your gun fighting for video games.
Submitted by Stockislander on Mon, 11/17/2008 - 7:47pm
On the other hand, it caused me to look up some more Carlin quotes... here's a few I like.
Give a man a fish and he will eat for a day. Teach him how to fish, and he will sit in a boat and drink beer all day.
If lawyers are disbarred and clergymen defrocked, doesn't it follow that electricians can be delighted, musicians denoted?
and:
Inside every cynical person, there is a disappointed idealist.
Submitted by Stockislander on Mon, 11/17/2008 - 12:13am
As long as my various comps do their jobs, they don't get replaced. That's not to say that some components don't get upgraded, but a complete replacement cycle for me is a few years, and I'm right in the middle of the current one. So I guess you can say I'm more software driven. When working on art, music or playing a game becomes too tedious, or a compelling operating sysem (someday soon come?) requires bigger iron, that's when I smack down the Visa card.
Submitted by Pball1224 on Sun, 11/16/2008 - 8:55pm
I've already been waiting on a new PC purchase. I just can't justify spending the money on it when I think about all the other things that money should be spent on as well. I've had everything I need to build a new system on a newegg wish list for months. That's all more my own fault than the financial market though... oh well, maybe after Christmas... by then I can sub out a few things and put the i7 on my list.
Intel pre-news causes AMD downturns
Submitted by The Amazing Asmasian on Sun, 11/16/2008 - 8:16pm
Intel has been misinforming us into swallowing the balogna they put out for so long that we start to believe it (unless we are more intelligent than that)...most recent information from stock advisor Jim Cramer which said that AMD will never go below $2.20...or was that just MadMoney@cnbc.com news? Anyway, the lowest AMD will go will be seen in early December and then will be the time that even Intel will invest their monies in AMD...from there on out it will only go up for AMD...45nm architecure will allow them to become more competitive with other processors...ATI is already moving along just fine with the 4000 series and with monies tight they are right in there for the long run...so with all of the bad news spilling out of Intel about this and that for our future knowledge...Think Again.
BTW I'll be getting a desktop and laptop from AMD in 2009.
Submitted by StealthSilver on Sun, 11/16/2008 - 6:30pm
This just in: EVERYONE will struggle in 2009.
takes an analyst to figure
Submitted by ashegam on Sun, 11/16/2008 - 6:03pm
takes an analyst to figure that out? seriously.
Definitely not cutting back.
Submitted by winmaster on Sun, 11/16/2008 - 5:35pm
I plan on buying my first pc in, well, ever, really soon here. (The one I'm using now I got for free.) With that said, I plan to increase technology spending next year. I know I won't cut back because it can't go any lower than $0.00.
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The quick brown fox jumps over the lazy dog.
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