Chief Exec of AMD Happy with Thanksgiving Weekend Sales, Has Positive Expectations for 2013

Promising Black Friday and Cyber Monday Sales May Point to Successful Holiday Season

by Anton Shilov
11/27/2012 | 01:08 PM

Chief executive officer of Advanced Micro Devices considers sales in the Thanksgiving weekend encouraging, which may be an early indicator that the demand towards the company’s products will continue to be high during the holiday season. In addition, Rory Read projects an improvement in macroeconomic situation around the globe as well as refresh of the PC market in 2013.

 

“We have seen some positive news out of Black Friday over the past several days. Our performance over that period looked reasonably well, but I think it is a little early to call the holiday season at this point,” said Rory Read, chief exec of AMD, at Credit Suisse Technology Conference.

People in the well developed countries these assign more money on ultra-mobile devices, such as smartphones and media tablets, which is why PC replace cycles are now longer than before and hence the demand for personal computers in general is dropping. As a result, companies involved into the PC business need to make their products more attractive and/or affordable to actually sell them.

In general, Mr. Read remains more or less optimistic about the future of the PC market, which is good in general and for AMD in particular, since at least the management team will not be inclined to perform another round of reorganization that involves further layoffs of valuable professionals.

“I look at the PC demand as being choppy for the next couple of quarters, I do believe that macro environment will sort itself out a bit better, I do believe that the PC segment in general will have some refresh over the second half of 2013. […] The emerging markets will accelerated as the macro environment improves,” said Mr. Read.

Still, given the current market condition, any prediction is very preliminary as the situation develops very quickly.