Opteron boosts AMD sales

Earnings exceed analysts' estimates

Driven by strong sales of its dual-core Opteron processor, AMD reported US$1.33 billion (NZ$2.13billion) in revenue for the first quarter of 2006, equalling analysts' estimates. That was up from US$1.23 billion for the first quarter of 2005, or US$780 million excluding revenue from the Spansion memory chip unit it spun out in 2005, according to a statement from the company.

Sales in the first quarter were driven by strong demand for dual-core processors for servers and workstations, leading to record sales of the Opteron processor, AMD says. Another factor driving company earnings was an increase in average selling price, according to the company.

In general, users in the commercial sector increased their adoption of systems with AMD's server and desktop chips, compared with rival Intel. Sales of the Turion 64 mobile processor were also up compared to the fourth quarter of 2005, the company says.

Sales were strongest in the regions of China, Latin America, Russia and South Asia, according to AMD.

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