SUNNYVALE, Calif.--(BUSINESS WIRE)--Aug. 14, 2000--AMD today announced it has commenced shipments of 1.1GHz processors to leading computer manufacturers. Numerous partners will be introducing systems featuring 1.1GHz AMD Athlon processors on August 28, 2000.

"What a difference a year makes," said W.J. Sanders III, chairman and chief executive officer. "The AMD Athlon and AMD Duron processors are reshaping the landscape of the PC industry. AMD is supplying the highest performing products in volume, creating vital new partnerships to bring innovative solutions to market, and offering business and home users a broad and powerful portfolio of computing solutions.

"AMD's superior product architectures, outstanding execution, and ability to manufacture high volumes of high-frequency parts have resulted in tremendous changes in the marketplace. AMD's success in these three areas has redefined the performance segment of the market, which now extends from 800MHz to 1.1GHz, and the value PC, characterized by systems that typically sell for less than $1,000, ranging from 600 to 700MHz. The result: at any system price point, business and home users will get a more powerful PC with an AMD processor-based system," Sanders continued.

One year ago, a leading-edge $2500 PC featured the 650MHz AMD Athlon processor. This month, for approximately $2500, users will be able to unleash the power of a 1.1GHz AMD Athlon processor-based system.

AMD today publicly released its new pricing, as the industry moves into the seasonally strongest buying cycles. The PC market outlook is strong and AMD is on track to meet its goal of doubling shipments of seventh generation PC processors to 3.6 million units in this quarter, and again doubling shipments to 7.2 million units in the fourth quarter. AMD expects that its total PC processor shipments, including AMD Athlon, AMD Duron, and AMD-K6 -2 processors, could approach 7 million units this quarter and 9 million units in the fourth quarter.

"AMD is well poised to elevate the performance and value markets and continue our success," Sanders concluded.

Global Demand
Hundreds of computer manufacturers worldwide, including Compaq, Fujitsu, Fujitsu-Siemens, Gateway, Hewlett-Packard Company, IBM, and NEC, offer AMD Athlon processor-based PCs.

The AMD Duron processor, a derivative of the award-winning AMD Athlon processor, was introduced in June 2000 and has reinvented the value PC space. More than 75 computer manufacturers worldwide are currently selling AMD Duron processor-based systems, including Fujitsu-Siemens, IBM, and NEC Packard Bell.

Pricing
The 1.1GHz, 1GHz, 950MHz, 900MHz, 850 MHz, and 800 MHz AMD Athlon processors are priced at $853, $612, $460, $350, $282, and $215 respectively, each in 1,000-unit quantities. The 700MHz, 650MHz, and 600MHz AMD Duron processors are priced at $138, $103, and $79 respectively, each in 1,000-unit quantities.

About AMD
AMD is a global supplier of integrated circuits for the personal and networked computer and communications markets with manufacturing facilities in the United States, Europe, Japan and Asia. AMD produces microprocessors, flash memory devices, and support circuitry for communications and networking applications. Founded in 1969 and based in Sunnyvale, California, AMD had revenues of $2.9 billion in 1999. (NYSE: AMD).