AMD unlikely to meet their first-quarter revenue guidance

AMD unlikely to meet their first-quarter revenue guidance

Microprocessor Company AMD has said in a statement that they are going to struggle to meet their first-quarter revenue guidance.

The company had forecasted figures of $1.6 billion to $1.7 billion. This is just the latest bit of disappointing news from the company which has already disappointed a lot of investors.

AMD is struggling to recover from the recent exciting product launches from rival and world’s largest PC microprocessor maker Intel.

Intel can manage to price their products low which end up hurting profits of AMD in the long run and this is exactly what is happening with the company.

However, AMD CEO Hector Ruiz claimed in a statement that they overestimated the demand from the PC and server makers that now provide the bulk of AMD’s business.

He said: “This has turned out to be a challenging quarter for us. When you go from being, in a rather short period of time, somewhat insignificant to many OEMs, and then becoming very significant to a large number of OEMs, that becomes as pretty challenging transition to make.”