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HUMA_AMD

AMD is a leading semiconductor company focused on high-performance and adaptive computing, aiming to build innovative products that enhance computing experiences. The company faces competition primarily from Intel and NVIDIA, with a strategic focus on operational efficiency, market expansion, and research and development. Recommendations for AMD include diversifying into emerging technologies, forming strategic partnerships, and optimizing supply chain management.

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Hương Nguyễn
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10 views

HUMA_AMD

AMD is a leading semiconductor company focused on high-performance and adaptive computing, aiming to build innovative products that enhance computing experiences. The company faces competition primarily from Intel and NVIDIA, with a strategic focus on operational efficiency, market expansion, and research and development. Recommendations for AMD include diversifying into emerging technologies, forming strategic partnerships, and optimizing supply chain management.

Uploaded by

Hương Nguyễn
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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PRINCIPLES OF STRATEGY

THE COMPANY

AMD is the high performan ce an d adaptive co mputing leader, po wering


the products and services th at h elp so lve the world’s mo st impo rtant
challenges.

Founded in 1969 as a Silicon Valley start-up, the AMD jou rn ey began


with dozen s o f employees wh o were passion ate abo ut creating leading-
edge semicon ductor pro ducts.

Vision: High perfo rman ce and adaptive computing is transforming our


lives.

Mission: Build great products that accelerate next-gen eration


computing experiences.
COMPANY STATEMENT

To achieve real progress, it takes ground-breaking


innovation and human ingenuity working together to
create something exceptional.
DISTRIBUTION
BUSINESS UNITS
2022

Gam ing D ata C e nte r C lie n t Embedded D ocu men t

$7 B illion $5.5 B illion $6 B illion $4.6 B illion


BUSINESS UNITS SUPPORT

Data Center

Products

Gaming Client
BUSINESS UNITS SUPPORT

Data Center

Gaming Client
SHARED RESOURCES AND CAPABILITIES

Supply Chain Internal Resources Collaboration Innovation

Distribution Manufacturers Patents


STRATEGY CANVA
STRATEGIC POSITIONING

The company's strong brand, unique


technology, and diverse product
portfolio position it favorably in the
competitive semiconductor market.
Moreover, the growing demand for high-
performance computing and gaming,
and the potential benefits from the
Xilinx acquisition, present significant
opportunities for AMD
COMPETITION
COMPETITION
COMPETITION

In the fourth quarter of 2023, 61.1 percent of x86 computer processor or CPU
tests recorded were from Intel processors, down from the higher percentage
share seen in previous quarters, while 35.6 percent were AMD processors. When
looking solely at laptop CPUs, Intel is the clear winner, accounting for 69.3
percent of laptop CPU test benchmark results in the third quarter of 2023.
GENERIC STRATEGY: COST
LEADERSHIP

01
Effi cient Value Supply Chain Management

02 Focus on global Aff ordability and Broad Cost Leadership Differentiation


Accessibility

03 Target the middle class customers with


eff ective marketing strategies

04 Off er the discount to handle the tight Differentiation


Niche Cost Focus
competition Focus

Cost Differentiation
STRENGTHS
• Technology Leadership and Innovation
• Partnerships with Major Companies Dani Martinez
• Increased Market Share
• Competitive Pricing
• Focus on Energy Efficiency

WEAKNESSES
• Dependence on Outsourced Manufacturing
• Intellectual Property Risks
• Competitive Pressure
• Dependence on a Few Key Customers
EXTERNAL ENVIRONMENT ANALYSIS
PORTER 5 FORCES ANALYSIS

Industry Power of Product New Entrants Power of Buyers


Competition Suppliers Substitution
High: AMD is in direct Moderate: The number Moderate: While AMD faces Low: The semiconductor High: In the highly
competition with giants of companies that can direct competition from industry requires competitive tech market,
like Intel in the CPU manufacture advanced other chip manufacturers, substantial capital customers can switch
market and NVIDIA in chips is limited, which and emerging technologies investment in R&D and between different
the GPU market increases these could displace traditional manufacturing facilities, semiconductor products
suppliers' bargaining CPUs and GPUs. which can be a barrier based on performance,
power to new entrants price, and power efficiency
BUSINESS LEVEL
STRATEGIES
01 02
Operational Efficiency Expand Market Share

RED OCEAN
STRATEGY
03 04
Focus on Research Supply Chain and
and Development Distribution Management

05
Become AI companies’
suppliers
Recommendations: Business
Level
Product AMD should continue to invest in research and development to innovate and
Differentiation improve the performance and energy efficiency of their CPUs and GPUs

Customer-centric AMD should strengthen its customer service and technical support to
Approach enhance customer satisfaction and loyalty.

Supply Chain AMD should focus on optimizing its supply chain to reduce costs and improve
Optimization efficiency
Recommendations: Corporate
Level
Diversification and AMD should consider diversifying into emerging technological fields such as
Expansion artificial intelligence, deep learning, and autonomous driving technologies

Strategic AMD should seek strategic partnerships with technology firms, research
Partnerships and institutions, and startups that are at the forefront of innovation in
Collaborations semiconductor technologies

AMD should actively look for acquisition opportunities that can bring in new
Acquisitions technological capabilities, particularly in areas where they are currently
lagging behind their competitors, such as AI and cloud computing

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