Chip wars come to a head, just in time

1999-11-25

The leapfrogging of AMD and Intel towards the elusive goal of a 1GHz 32-bit processor looks close to reaching a conclusion. According to The Register, Intel will use a semiconductor conference in early February to demonstrate such a chip. However if rumours from AMD are true, Intel may find themselves pipped to the post.

The ongoing thrusts and parries of the two organisations are having several effects. First, AMD has managed to re-establish itself as a processor provider worth considering. A number of the major PC suppliers, including Dell, are starting to take chips from AMD. Gateway withdrew from using the company but there is information to suggest that the two organisations may be re-opening the channel. Success breeds success and AMD now look like they have achieved the kind of critical mass that is necessary to keep up, or even overtake, the erstwhile leader. The second knock-on of the knockabout has been that customers have benefited greatly. Prices have been forced down while new products have been released at an increasing rate.

The question arises as to whether this pace of innovation can be sustained. Or does it? Given the intensity if the x86 wars, it is possible to become oblivious to the other changes that are occurring in the IT industry. The fact is that we are on the brink of an explosion of diverse and innovative devices, with interface compatibility but a broad ranging base of software and hardware. All of the main players are recognising this with Dell releasing its WebPC next week, Microsoft changing its mantra to “great software.. on any device” and Intel making a broad range of investments to give itself a lead in the device explosion.

The next year will prove most stimulating, for one thing it should spell the end of the processor wars which have seen off a number of vendors including NatSemi, Cyrix/IBM and Motorola to name but a few. The closing of this chapter will enable the other players to rejoin the fray, and innovation and partnerships will prove more important than processor speed and MIPs. An important milestone it is, however the success story of the first past the 1GHz post will quickly leave the marketing collateral and enter the annals of IT history.

(First published 25 November 1999)