AMD 1994 Annual Report Download - page 6

PART I
ITEM 1. BUSINESS
GENERAL
Advanced Micro Devices, Inc. was incorporated under the laws of the state
of Delaware on May 1, 1969. The mailing address of its executive offices is One
AMD Place, P.O. Box 3453, Sunnyvale, California 94088-3453, and its telephone
number is [phone]. Unless otherwise indicated, the terms the
"Corporation" and "AMD" in this report refer to Advanced Micro Devices, Inc. and
its subsidiaries.
The Corporation designs, develops, manufactures and markets complex
monolithic integrated circuits for use by manufacturers of a broad range of
electronic equipment and systems.
PRODUCTS
The Corporation's products primarily consist of standard or catalog items
or are made from designs based on such items, as opposed to custom circuits
designed for a single customer. While a substantial portion of AMD's products
are standard or catalog items, increasingly many of its recently developed
products are designed for specific applications such as telecommunications,
personal computers, engineering workstations, optical disk memory or local area
networks. As a service to certain major customers, the Corporation modifies
portions of these application-specific devices to meet specific customer needs.
The resulting devices are produced in significant volumes for such customers.
AMD began as an alternate-source manufacturer of integrated circuits
originally developed by other suppliers and has gradually shifted to proprietary
products (i.e., products resulting from the Corporation's design or technology
innovations). The Corporation has made a significant commitment to research and
development which has contributed toward its becoming a leader in manufacturing
and process technology within the integrated circuit industry.
The Corporation has focused its product development activities on the three
areas of its business: (1) X86, K86 and other microprocessors and related
embedded processors for personal computers, (2) applications solutions products,
and (3) high-volume commodity products such as programmable logic and non-
volatile memory devices.
Personal computer (PC) products include microprocessors and related
embedded processors used in computers. AMD's applications solutions products
are focused on networks, voice/data communications (WORLD NETWORK/R/), and on
computer peripherals, computer interfaces and mass storage. High-volume
commodity products include programmable logic devices ("PLDs") and other non-
volatile memory devices (such as FLASH Memory). PLDs and FLASH Memory devices
are typically produced by more than one manufacturer, subject to intense
competition, and broadly applicable across a wide customer base. Since most of
the Corporation's products are utilized in personal computers and related
peripherals, the Corporation's future growth is closely tied to the performance
of the PC industry.
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Source: ADVANCED MICRO DEVIC, 10-K, March 07, 1995