Posted 09/24/08 at 11:00:00 AM by Tom Halfhill

AMD continues to suffer through corporate misery, most recently by losing almost $1.2  billion in a single quarter, forcing the replacement of CEO Hector Ruiz with his subordinate, Dirk Meyer. If AMD collapses and Intel becomes the only major vendor of PC processors, will prices soar?

Unfortunately, monopolies usually do inflate prices. They also retard progress. AMD stimulates Intel to price its processors more aggressively and develop better processors. Without AMD, we might not have 64-bit x86 processors today or PC processors with integrated memory controllers. Right now, we’d probably be looking forward to the first quad-core x86 processors instead of the first eight-core chips.

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