AMD's CEO sees need for innovation of proven fab processes

According to Rory Read, chief executive officer of Advanced Micro Devices, a major processor maker based in Sunnyvale, Calif., the time has come for the semiconductor industry to rethink its headlong pace toward subatomic sizes and get more out of proven fabrication processes.

Citing comments made Dec. 13 by Read during an IT Supply Chain Conference organized by Raymond James, a diversified financial services holding company, X-bit labs recently reported that the AMD chief is concerned that "the price advantages as we move down the nodes are starting to wane."

The implication, according to X Bit's report, is that "high process technology development costs eventually translates into high product prices. In case of an economic downturn, it will be very hard to remain profitable if demand collapses. On the other hand, if transition to a newer fabrication process takes a longer time, it will become easier from a financial point of view."

X-bit labs tests and reports on personal computing hardware.