AMD is within sight of inflicting real damage on market leader Intel, if it can supply its 1GHz processor in sufficient quantity, analysts have said.
Intel has suffered from well- publicised supply problems, particularly with its fastest chips. The latest AMD chip was formerly launched last week under the Athlon brand.
Industry experts said if AMD can supply enough of the processors it is the company's chance to win business from Intel.
Thomas Reuner, an analyst at Gartner, said: "Intel is struggling to supply processors, particularly Pentium IIIs. As long as AMD can deliver the new chips, it may win business from Intel.
"Consumer perception of AMD is very strong but it needs to make in-roads into the business desktop market to take on Intel. Availability is the key, and is more important than any new product launch."
Athlon has an on-die cache running at full speed that boosts its performance.
It will be available at six speeds, ranging from 750Mhz to 1Ghz.
Five PC manufacturers - Compaq, Fujitsu Siemens, IBM, Hewlett-Packard and Gateway - have committed to using Athlon. However, many analysts have questioned business demand for high-end chips, saying Intel and AMD are focusing on marketing rather than what customers want.
A low-end version of Athlon, called Duron, will be available later this month. AMD said the chip will lead a "big push" into the business market.
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