It could have been done sooner, but AMD's local efforts are soon to see an investment injection, says Gautam Srivastava, AMD's newly-appointed MD for Middle East, Africa and Pakistan.
Currently setting up home in Dubai, Srivastava says he will visit SA next month to get AMD's local representation into high gear.
"We have had a history of low-key representation in the South African market and we probably should have set up a local office sooner. This will change within the next few months, as we look to set up an office and seek appropriate staffing levels."
Local shift
AMD's local efforts will see a significant change in the next 12 to 16 weeks, but SA's consumers may not be aware of the shift for some time, he notes.
"Consumers don't rush out to buy AMD processors - they buy hardware solutions which feature AMD technologies. Our main focus will be building on the relationships that we have with original equipment manufacturers, solution providers, system integrators and the local offices of our international partners," explains Srivastava.
This strategy is aimed at mirroring the success AMD has achieved in its Americas and European regions, particularly in its server offerings.
Earlier this month, New York Stock Exchange-listed AMD reported full-year revenue for the period ended 31 December. Increasing 33% to $5.25 billion, the figure excludes revenue from newly-acquired ATI.
"We have achieved considerable growth in the last few years, with many of our offerings achieving double-digit growth. Nevertheless, we are aware some of the markets we operate in are maturing and emerging markets - such as SA - that have much to offer," says Srivastava.
Taking on Intel
In its annual report to the US Securities and Exchange Commission, AMD noted its concerns regarding Intel.
"Intel has dominated the market for microprocessors for many years. Intel's significant financial resources enable it to market its products aggressively, to target our customers and our channel partners with special incentives, and to discipline customers who do business with us. These aggressive activities have, in the past, and are likely in the future, to result in lower unit sales and average selling prices for our products and adversely affect our margins and profitability," it told shareholders.
However, size and customer influence is not a guarantee of long-term success, notes Srivastava.
"Of course, Intel is a larger company with a sizable financial base. However, we have continued to take market share from them. Take, for instance, our server success - we were absolute beginners, but delivered consistent double-digit growth and now hold 40% of the US market."
He adds: "Our increased attack in the South African market will not be based on throwing money at the market. Instead we are looking at investigating local requirements and scaling our representations responsibly."
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