AMD under attack over graphics chips allocation

Sources at Add In Board (AIB) partners have heavily criticised AMD for putting their businesses in jeopardy by not producing enough high end chips for them to make hay while the sun shines.

Speaking under terms of anonymity, several AIB vendors told Channel Biz that while they had large pre-orders for discrete graphics chips, AMD was unable to supply enough to fulfil the orders.

The high end chips are where the cream is, one AIB vendor said at CeBIT last week. And while there is great demand for the boards from the enthusiast end of the market – which is where the money is – AMD has put it on allocation. That means that AMD is disappointing not only its partners, but disappointing its end users too.

AMD has garnered a large market share at the expense of Nvidia in the add in board market. Nvidia lags far behind in pure tech, the channel partner told Channel Biz. But it seems more concerned to supply the “bread and butter” end of the marketplace than to produce enough high end semiconductors to satisfy that lucrative market, he said.

Another AIB vendor, again speaking under terms of strict anonymity, said that AMD seemed more concerned with pushing its Fusion chips than looking after its long term partners.

Changes in the management structure over the last year meant that there was a “headless chicken” approach to the channel, one AIB partner said. While she acknowledged that some changes at AMD were inevitable, she added that its channel strategy was in total disarray and that if it wasn’t careful, it would end up alienating companies and turn former friends into enemies. The AIB grumbled that AMD should stick to its guns and organise itself a little better.

AMD was unavailable for comment at press time.