AMD vs Intel

The introduction of Pentium D is not only expected to give Intel an edge
against their prime competitor AMD, but also bring around a revolution in
the world of personal computing. This just might be the first dual core
processors of their kind, which would be affordable and targeted at the
common computer user. Analysts predicted that 2006 would be the year
where the consumer takes to the dual core processors in a big way,
however with Intel’s plan to sell millions of units this year itself; we might
see that happening a lot sooner.

The three models launched: Pentium D 820 at 2.8GHz, Pentium D 830 at
3.0GHz and Pentium D 840 at 3.2GHz will have prices of 241, 316, and
530 dollars for 1000 units. In comparison, AMD processors are priced
almost double these processors. The “slowest” AMD Athlon X2 (2.2 GHz
4200+) is priced at $537. Intel’s complete package also comes with
hardware for surround sound, high-definition video and improved graphics
performances, which further make the deal more lucrative.

Another important aspect that has to taken into consideration is that Intel
also offers 945 chipset platforms which implement technologies like:
surround sound, high-definition video and improved graphics
performances and, as discussed yesterday, Active Management
Technology (AMT).

But it is quite possible that AMD could rebound from current situation soon.
Now with Intel taking the price advantage, there are few options available
for them. They have normally excelled at providing excellent speeds at
economical packages. If they can price their Dual Core processors
cheaper than Pentium D, it would be a win-win situation for the end
consumer! The company is expected to launch their desktop range of Dual
Core processors quite soon.

On Friday Intel stock(INTC) closed at $27.39 (Price-to-Earning Ratio is
21.9) whereas AMD stock closed at $16.21 (Price-to-Earning Ratio is 180).