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AMD CPU Inventory Builds Up

AMD today announced that its fourth quarter revenues, excluding ATI-related segments, will only increase about 3% from the US$ 1.33 billion reported in the third quarter of 2006. The revenue growth is much lower than 6-13% growth range the company mentioned during its third quarter investor conference. The channel had previously seen an en an extended period of AMD CPU shortages, but inventory began piling up at the end of last quarter, with the ramp of AMD-based Dell notebook shipments has been slower than expected. AMD is expected to offer significant price cuts later this month, right after Intel cuts prices on January 21.

AMD today announced that its fourth quarter revenues, excluding ATI-related segments, will only increase about 3% from the US$ 1.33 billion reported in the third quarter of 2006. The revenue growth is much lower than 6-13% growth range the company mentioned during its third quarter investor conference. The channel had previously seen an en an extended period of AMD CPU shortages, but inventory began piling up at the end of last quarter, with the ramp of AMD-based Dell notebook shipments has been slower than expected. AMD is expected to offer significant price cuts later this month, right after Intel cuts prices on January 21.

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