Craig Berger of Friedman, Billings, Ramsey & Co. said AMD's stated goal to revamp its manufacturing operations through its asset lite program has become more important as the chip giant potentially faces another cash crunch. In a research note, Berger said AMD's products appear to be gaining traction and the company has seen better yields and shipments of its triple- and quad-core products.
Analysts have speculated that AMD plans turn more of its manufacturing operations to contractors in a bid to cut costs, although the company has yet to release details of the strategy.
Berger said that AMD could face another cash crunch in coming quarters as it has taken on $5 billion of debt and burned through a lot of cash.
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