Advanced Micro Devices, Inc (NYSE:AMD) advancing into new businesses with ex-Apple hires – AAPL, INTC

Boston, MA 04/22/2013 (wallstreetpr) – The personal computer is shrinking and so are peripheral businesses. Advanced Micro Devices, Inc (NYSE:AMD) (Closed: $2.47, Down by 1.59%) is trying very hard to be less reliant on the PC industry. The company said that a former executive who had extensive graphics technology experience has rejoined AMD. The 44-year-old Raja Koduri had left the company three years ago to join Apple Inc (NASDAQ:AAPL) (Closed: $390.53, Down by 0.39%). In a statement, the California-based company said that he will be at the fore of engineering efforts in the visual computing domain and will report in to Mark Papermaster the Chief Technology Officer. The latter was also previously an executive with Apple.

New waters

Rory Read, the Chief Executive Officer of AMD is restructuring the company and developing new processor technology. This is primarily an effort to make its products stand-out from those of its considerably larger rival, Intel Corporation (NASDAQ:INTC) (Closed: $22.44, Down by 0.90%). It will also help the company venture into markets apart from the personal computer one. In the quarter that ended March, there was a 14 percent global drop of PC shipments. This has been the sheerest drop on record and far lower than the 7.7 percent dip that had been projected by IDC, the research firm.

A brighter future

A large number of former Apple employees have joined AMD. Papermaster was in charge of mobile device engineering at Apple until the time he left the company in 2010. Jim Keller also rejoined from Apple. Wayne Meretsky and Keller who now jointly run the software development unit at AMD used to work at PA Semi. It is a semiconductor design company that had been acquired by Apple in 2008. Amidst the slipping demand for PC’s AMD announced its third quarterly loss in a row. Read’s target is to acquire 20 percent revenue from businesses other than PC’s, by the fourth quarter of 2013. The company has projected increased revenue from game consoles and its second quarter projections are higher than certain analyst estimates.

Earlier this month, people with knowledge of the matter said that Microsoft Corp’s Xbox game machine will be outfitted with an AMD processor. Earlier, Sony Corp had also announced that AMD parts will be used in the new Playstation 4.

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Published by Chris Brown

About Me: I have a Phd in Economics Gender: Male Interests: Playing games like cricket, volleyball Favorite Music: hip hop, rock, jazz

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