Advanced Micro Devices, Inc. (AMD) is an American
multinational semiconductor company based in
Santa Clara, California, that develops
computer processors and related technologies for business and
consumer markets. While it initially manufactured its own processors, the company later outsourced its manufacturing, a practice known as going
fabless, after
GlobalFoundries was spun off in 2009. AMD's main products include
microprocessor
A microprocessor is a computer processor where the data processing logic and control is included on a single integrated circuit, or a small number of integrated circuits. The microprocessor contains the arithmetic, logic, and control circu ...
s,
motherboard chipsets,
embedded processors,
graphics processors, and
FPGA
A field-programmable gate array (FPGA) is an integrated circuit designed to be configured by a customer or a designer after manufacturinghence the term ''Field-programmability, field-programmable''. The FPGA configuration is generally specifi ...
s for
servers,
workstations, personal computers, and
embedded system
An embedded system is a computer system—a combination of a computer processor, computer memory, and input/output peripheral devices—that has a dedicated function within a larger mechanical or electronic system. It is ''embedded'' ...
applications.
History
First twelve years
Advanced Micro Devices was formally incorporated by
Jerry Sanders, along with seven of his colleagues from
Fairchild Semiconductor, on May 1, 1969. Sanders, an
electrical engineer
Electrical engineering is an engineering discipline concerned with the study, design, and application of equipment, devices, and systems which use electricity, electronics, and electromagnetism. It emerged as an identifiable occupation in the ...
who was the director of marketing at Fairchild, had, like many Fairchild executives, grown frustrated with the increasing lack of support, opportunity, and flexibility within the company. He later decided to leave to start his own
semiconductor company, following the footsteps of
Robert Noyce (developer of the first silicon
integrated circuit at Fairchild in 1959) and
Gordon Moore, who together founded the semiconductor company
Intel
Intel Corporation is an American multinational corporation and technology company headquartered in Santa Clara, California, Santa Clara, California. It is the world's largest semiconductor chip manufacturer by revenue, and is one of the devel ...
in July 1968.
[ Malone, Michael S.br>"Silicon Insider: AMD-Intel Feud Continues"]
''ABC News
ABC News is the journalism, news division of the American broadcast network American Broadcasting Company, ABC. Its flagship program is the daily evening newscast ''ABC World News Tonight, ABC World News Tonight with David Muir''; other progra ...
''. April 24, 2003.
In September 1969, AMD moved from its temporary location in
Santa Clara to
Sunnyvale, California. To immediately secure a customer base, AMD initially became a
second source supplier of microchips designed by Fairchild and
National Semiconductor.
[Pederson, Jay P]
''International Directory of Company Histories'', Vol. 30
. St. James Press, 2000. AMD first focused on producing logic chips. The company guaranteed quality control to
United States Military Standard, an advantage in the early computer industry since unreliability in microchips was a distinct problem that customers – including
computer manufacturers, the
telecommunications industry, and instrument manufacturers – wanted to avoid.
[Singer, Graham]
"The Rise and Fall of AMD"
TechSpot. November 21, 2012.[AMD Corporation](_blank)
Silicon Valley Historical Association. 2008.
In November 1969, the company manufactured its first product: the Am9300, a
4-bit MSI shift register, which began selling in 1970.
Also in 1970, AMD produced its first proprietary product, the Am2501 logic counter, which was highly successful.
[Lojek, Bo]
''History of Semiconductor Engineering''
Springer Science & Business Media, 2007. p. 220.[Our History](_blank)
''AMD.com''. Its best-selling product in 1971 was the Am2505, the fastest
multiplier available.
[Rodengen, p. 41.]
In 1971, AMD entered the
RAM chip market, beginning with the Am3101, a
64-bit bipolar RAM.
That year AMD also greatly increased the sales volume of its linear integrated circuits, and by year-end the company's total annual sales reached
US$4.6 million.
AMD went public in September 1972.
The company was a second source for Intel
MOS/
LSI LSI may refer to:
Science and technology
* Large-scale integration, integrated circuits with tens of thousands of transistors
* Latent semantic indexing, a technique in natural language processing
* LSI-11, an early large-scale integration com ...
circuits by 1973, with products such as Am14/1506 and Am14/1507, dual 100-bit dynamic shift registers. By 1975, AMD was producing 212 products – of which 49 were proprietary, including the Am9102 (a
static N-channel 1024-bit RAM) and three low-power
Schottky MSI circuits: Am25LS07, Am25LS08, and Am25LS09.
[Rodengen, p. 55.]
Intel had created the first
microprocessor
A microprocessor is a computer processor where the data processing logic and control is included on a single integrated circuit, or a small number of integrated circuits. The microprocessor contains the arithmetic, logic, and control circu ...
, its 4-bit
4004
The Intel 4004 is a 4-bit central processing unit (CPU) released by Intel Corporation in 1971. Sold for US$60, it was the first commercially produced microprocessor, and the first in a long line of Intel CPUs.
The 4004 was the first significa ...
, in 1971. By 1975, AMD entered the microprocessor market with the
Am9080, a
reverse-engineered clone of the
Intel 8080,
[Rodengen, p. 50.] and the
Am2900 bit-slice microprocessor family.
When Intel began installing
microcode in its microprocessors in 1976, it entered into a
cross-licensing agreement with AMD, which was granted a copyright license to the microcode in its microprocessors and peripherals, effective October 1976.
[Advanced Micro Devices, Inc. v. Intel Corp. (1994)](_blank)
No. S033874. December 30, 1994. ''Justia.com''. Accessed October 25, 2014.[SECURITIES EXCHANGE ACT OF 1934: RELEASE No. 37730](_blank)
Securities and Exchange Commission
The U.S. Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street Crash of 1929. The primary purpose of the SEC is to enforce the law against mark ...
. ''Sec.gov''. September 26, 1996. (Accessed October 25, 2014.)
In 1977, AMD entered into a joint venture with
Siemens, a German engineering conglomerate wishing to enhance its technology expertise and enter the American market.
[Malerba, Franco]
''The Semiconductor Business: The Economics of Rapid Growth and Decline''
University of Wisconsin Press, 1985. p. 166. Siemens purchased 20% of AMD's stock, giving the company an infusion of cash to increase its product lines.
The two companies also jointly established Advanced Micro Computers (AMC), located in Silicon Valley and in Germany, allowing AMD to enter the
microcomputer development and manufacturing field,
[Rodengen, p. 60.] in particular based on AMD's second-source
Zilog Z8000
The Z8000 ("''zee-'' or ''zed-eight-thousand''") is a 16-bit microprocessor introduced by Zilog in early 1979. The architecture was designed by Bernard Peuto while the logic and physical implementation was done by Masatoshi Shima, assisted by a ...
microprocessors.
When the two companies' vision for Advanced Micro Computers diverged, AMD bought out Siemens' stake in the American division in 1979. AMD closed Advanced Micro Computers in late 1981 after switching focus to manufacturing second-source Intel x86 microprocessors.
[Freiberger, Paul]
"AMD sued for alleged misuse of subsidiary's secrets"
'' InfoWorld''. June 20, 1983. p. 28.[Swaine, Michael]
"Eight Companies to produce the 8086 chip"
'' InfoWorld''. November 30, 1981. p. 78.
Total sales in
fiscal year
A fiscal year (or financial year, or sometimes budget year) is used in government accounting, which varies between countries, and for budget purposes. It is also used for financial reporting by businesses and other organizations. Laws in many ju ...
1978 topped $100 million,
and in 1979, AMD debuted on the
New York Stock Exchange
The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District of Lower Manhattan in New York City. It is by far the world's largest stock exchange by market capitalization of its listed ...
.
In 1979, production also began on AMD's new
semiconductor fabrication plant in
Austin, Texas
Austin is the capital city of the U.S. state of Texas, as well as the county seat, seat and largest city of Travis County, Texas, Travis County, with portions extending into Hays County, Texas, Hays and Williamson County, Texas, Williamson co ...
;
the company already had overseas assembly facilities in
Penang
Penang ( ms, Pulau Pinang, is a Malaysian state located on the northwest coast of Peninsular Malaysia, by the Malacca Strait. It