AMD 1995 Annual Report Download - page 15

Programmable Logic Devices (PLDs). The Corporation is a supplier of high-
speed, field-programmable integrated circuits. PLDs generally afford a user
increased design flexibility relative to standard logic devices. The initial
design time and cost in customizing a programmable device is significantly less
than designing a custom integrated circuit or customizing a gate array logic
device. The Corporation is in the process of transferring its operations
relating to the design, development and marketing of PLDs to a wholly-owned
subsidiary dedicated solely to PLDs. The subsidiary will rely upon the
Corporation for manufacturing services.
Embedded Control Microprocessors. The Corporation's proprietary
Am29000(R) family of RISC microprocessors is used in applications which
include high-performance laser printer controllers, high-resolution graphics
controllers, communications controllers and accelerator cards. Although the
Corporation has discontinued development of new Am29000 products, it continues
to produce existing ones. The Corporation will develop new products for the
embedded control microprocessor market based on AMD's x86 microprocessors.
Marketing and Sales
AMD's products are marketed and sold under the AMD(R) trademark. AMD
markets and sells its products primarily to a broad base of original equipment
manufacturers (OEMs) of computation and communication equipment. No single OEM
customer accounted for more than ten percent (10%) of sales during the fiscal
year ended December 31, 1995. One of AMD's distributors, Arrow Electronics,
Inc., accounted for approximately twelve percent (12%) of net sales. AMD
employs a direct sales force through its principal facilities in Santa Clara
County, California, and field sales offices throughout the United States and
abroad (primarily Europe and the Asia-Pacific Basin). AMD also sells its
products through third-party distributors and independent representatives in
both domestic and international markets pursuant to nonexclusive agreements.
The distributors also sell products manufactured by AMD's competitors, including
those products for which AMD is an alternate source.
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Source: ADVANCED MICRO DEVIC, 10-K405, March 21, 1996