InformationWeek

AMD Puts K6 Chip In NetPC

By Gregory Dalton

dvanced Micro Devices Inc. has placed its Pentium II-compatible K6 microprocessor into a NetPC, and says it soon will announce a partnership with a top-tier PC maker to include the chip in its business-class desktops.

The announcement will come in the "next several weeks," says a spokesman for AMD, in Sunnyvale, Calif. Sources say Compaq Computer and Hewlett-Packard are considering the K6, but are being careful not to damage their relationships with Intel. Neither vendor would comment.

Digital Equipment has already agreed to include 166-MHz and 200-MHz versions of the K6 in its Venturis FX-2 PC by the end of June. Landing another major original equipment manufacturer is critical for AMD, says Peter Glaskowsky, a senior analyst with the Microprocessor Report, a newsletter in Sebastapol, Calif. So far, Fujitsu is the only other brand-name manufacturer in the United States to join Digital in using the K6 for its desktops. The PC vendors' initial strategy will be to place the chip in just a couple of low-end models to avoid a direct confrontation with Intel, says Gla skowsky.

But another prospective market may be developing for the K6: NetPCs. AMD gained on that front recently at PC Expo in New York, where Digital unveiled a prototype NetPC with a K6 chip. "We are probably better-suited to the NetPC than Intel," says an AMD spokesman in reference to his company's strategy of offering lower-cost chips that are comparable to Intel's line.

Getting into the NetPC market would give AMD a stronger presence in Intel's territory, but it remains to be seen if that will translate into broader market acceptance. It's "conceivable," says Tom Roberts, a marketing manager for desktops at Digital, that the company may not even come out with a NetPC if the market doesn't materialize. Says Roberts, "We're going to have some prototype units out with customers and get some feedback."

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