AMD: A Customer-centric approach to innovation

Thèmes abordés

AMD - Customer-centric - Intel - Microprocessor

Résumé du document

This report focuses on the microprocessor manufacturer AMD's current and future positioning on the processor market. It first analyzes AMD's prospective growth: Could the company's success in servers be leveraged to other segments? Then, it analyzes the competition with Intel: will Intel's new product plans hamper AMD's growth plans? Finally, after analyzing AMD's positioning with the Power Campaign, the report explains how the company tries to build a competitive advantage with a customer-centric approach: will it yield commercially viable innovations that are dramatically different than those Intel will develop?

Extraits

[...] As we can see in figure 6 in appendix, a customer-centric organization is totally set up around the customer. In the facts, such an approach can consist in opening architectures, such as AMD's Torrenza project that opens Opteron's architecture. AMD's customer-centric approach helped the company to make customers loyal, to improve its brand awareness and to developed products that are more adapted to the market's latest evolutions. To sum up, we can consider that has the resolve to fulfill customers' needs and expectations”10. [...]

[...] Accessed on Connect: http://proquest.umi.com/pqdweb?did=1972135541&sid=11&Fmt=3&clientId=63894&RQT=309&VName=PQD th Accessed on October the From A customer-centric approach to innovation” by Elie Ofek and Lauren Barley, published on January Page page page page computing market (ads, Intel Inside logo . Thanks to this marketing campaign, Intel managed to “persuade end-users of the processor's importance in the computer purchase decision”6. It was consequently rather difficult for AMD to tackle such a dominated market. Nevertheless, thanks to better performance at a lower price, AMD managed to tackle several research labs and universities. This first step enabled AMD to build serious brand awareness for Opteron. [...]

[...] Accessed on October the different types of CPUs on the market, each of them being programmed differently. Power PC for Mac and x86 for PC are some examples of available CPUs. Those different CPUs are manufactured by several companies such as Intel and AMD, as we will see in this report. First microprocessors were created in the United States, in the Silicon Valey, by Ted Hoff at Intel Corporation3. Since CPUs are able to process many different data and answer to much diversified instructions, the potential for developing their architecture and for increasing their performance is rather important. [...]

[...] page 3 AMD's past and prospective growth . page 5 Differentiating to increase market shares . page 9 Conclusion and recommendations . page 12 Bibliography . page 13 Appendixes . page Introduction The twentieth century was characterized by many essential innovations that changed the face of the world and the way people deal with each others. Television, personal computers, Internet, therefore contributed to make the world global. Information available anywhere, at anytime and to anybody facilitates exchanges at an increased rapidity. As David C. [...]

[...] One of Opteron's core advantages was that it was compatible with previous 32bit architectures. Contrary to Intel's Itanium, it could therefore support existing software. But developing an efficient microprocessor is not enough to enable gaining market shares. It is actually essential to make sure PC manufacturers will build platforms for this specific microprocessor. However, AMD did not at this time benefit from particularly high quality brand awareness. As Henri Richard, executive vice president at AMD in 2007 says, lacked credibility and had no history in the segment. [...]