AMD has posted a loss for the third consecutive quarter, reporting a $600m deficit for the second quarter of 2007.
However, both companies saw profit margins tumble as the pricing war continued. AMD reported a margin of just 33 per cent, compared to 56 per cent a year ago, while Intel logged a 46 per cent margin this quarter.
AMD also currently trails its rival in getting new chips to market. Intel has been enjoying an exclusive market for its quad-core chips since January. AMD hopes to deliver its Opteron and Phenom quad-core designs later this year.
AMD claims that its quad-core design is superior to Intel's. Some analysts agree, but warn that the design advantage will be wiped out as soon as Intel releases its 45nm processors, which are slated to hit the market before the end of 2007.
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