Dell Won't Sell Most AMD-Powered Systems on Web
Dell said Friday it had cut from its Web site most consumer computers with chips from Advanced Micro Devices and would sell AMD-based PCs mainly in stores and by phone.
The news sent shares of AMD down as much as 4.7 percent to $6.28. A Dell spokesman said the shift, which took place over the past week, only affects consumer computers available on its Web site and could change.
Shares of AMD rival Intel were up 15 cents at $20.20 and Dell added 14 cents to $19.57.
Dell, the second-largest PC maker after Hewlett-Packard, is still selling one AMD-based consumer desktop computer on its Web site, and the Web site will continue to offer AMD-based systems to business customers, spokesman David Frink said.
"We regularly change the way we merchandise our product portfolio," Frink said. "Currently, this is the mix we've put in place for our consumer systems of all types."
Frink said the change affects "a few" Dell laptop and desktop computers offered on its Web site.
AMD had been gaining ground on Intel in the last few years until 2007. By then, Intel had revamped its product line with more advanced chips that used less power.
AMD stumbled in 2007, missing expected shipment dates of a key microprocessor code-named Barcelona as Intel regained its footing after missteps of its own in 2005 and 2006.
The world's biggest chip maker has since regained much of the market share lost to AMD.
For years AMD sought to land Dell, once the world's biggest PC maker, as a customer. Dell said in May 2006 that it would begin using AMD processors for the first time in a shift that was viewed then as a coup for AMD.