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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (date of earliest event reported): July 20, 1998
ADVANCED MICRO DEVICES, INC.
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(Exact name of registrant as specified in its charter)
DELAWARE 1-7882 94-1692300
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
One AMD Place,
P.O. Box 3453
Sunnyvale, California 94088-3453
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(address of principal executive offices) (Zip Code)
Registrant's telephone number,
including area code: (408) 732-2400
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Page 1 of 4
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Item 5. Other Events.
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On July 20, 1998, Advanced Micro Devices, Inc. and Motorola's
Semiconductor Products Sector announced plans for a far-reaching strategic
alliance that includes a patent cross-license agreement and collaborative
development of common process technology platforms for microprocessors and
embedded flash memory. The full text of the press release is set forth in
Exhibit 99 attached hereto and is incorporated in this report as if fully set
forth herein.
Item 7. Financial Statements and Exhibits.
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(c) Exhibits:
99 Press release dated July 20, 1998
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SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ADVANCED MICRO DEVICES, INC.
(Registrant)
Date: July 21, 1998 By: /s/ W. J. Sanders III
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W. J. Sanders III
Chairman and Chief Executive Officer
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Exhibit Index
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Exhibit Number Exhibit
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99 Press release dated July 20, 1998
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EXHIBIT 99
CONTACTS:
Scott Allen
AMD
PUBLIC RELATIONS
(408) 749-3311
KEN PHILLIPS
MOTOROLA
PUBLIC RELATIONS
(602) 952-3852
AMD AND MOTOROLA ANNOUNCE PLANS FOR STRATEGIC
TECHNOLOGY ALLIANCE
-Companies Intend To Cross-License Patents and Collaborate
on Process Technology Development for Logic and Embedded Flash-
SUNNYVALE, CA--July 20, 1998--Motorola's Semiconductor Products Sector
(NYSE: MOT) and Advanced Micro Devices (NYSE: AMD) today announced plans for a
far-reaching strategic alliance that includes a patent cross-license agreement
and collaborative development of common process technology platforms for
microprocessors and embedded flash memory.
Under the terms of the planned seven-year agreement, Motorola will license
its current copper interconnect technology and High Performance Logic Process
(HiPerMOS) to AMD. The companies will collaborate on the development of
future logic process technology platforms featuring copper interconnects.
These advanced process technology platforms will be used to build powerful
microprocessors: PowerPC(TM) processors for Motorola and K86(TM) Microsoft
Windows compatible processors for AMD. Microprocessors featuring clock speeds
of one gigahertz and higher will require copper interconnect technology.
-more-
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In turn, AMD will license its flash-memory technology to Motorola, and the
two companies will co-develop process technology for embedded flash. AMD is a
leading supplier of low voltage, high density stand-alone flash devices;
Motorola has demonstrated leadership in flash memory for embedded applications.
Motorola expects the agreement to accelerate its embedded flash leadership and
enhance its position as the world's number one supplier of embedded solutions.
Motorola also will receive rights to use certain networking technology from AMD.
The collaborative development of process technologies will be undertaken
through jointly staffed programs in Austin, TX and Sunnyvale, CA. AMD and
Motorola believe the benefits will include improved time-to-market across
multiple product lines and substantially increased leverage on research and
development spending. Both companies expect to begin incorporating the initial
results of this combined technology development in their respective
manufacturing operations next year.
"Process technology is the driving force that propels semiconductor
industry growth," said W.J. Sanders III, AMD's chairman and chief executive
officer. "Cutting-edge process technology is essential for industry leadership.
Using a jointly developed, common process technology platform will allow
Motorola and AMD to manufacture the world's most powerful processors for our
target markets.
"Copper interconnect technology is necessary to continue to increase
processor speed and performance and represents a key element in our 'Gigahertz
2000' goal," Sanders continued. "Our first co-developed logic technology,
HiPerMOS 6L, will enable us to produce gigahertz AMD-K7(TM) microprocessors in
our Dresden megafab in the year 2000. Collaborating with an industry leader
such as Motorola will put AMD on equal footing with the best of the best in
logic process technology and in the lead in embedded flash memory technology."
"This alliance is critical to Motorola's recently announced initiative to
quickly provide complete systems on chips," said Hector de J. Ruiz, Ph.D.,
president of Motorola's Semiconductor Products Sector. "AMD provides an
intellectual property (IP) portfolio, particularly in networking solutions, that
complements Motorola's own DigitalDNA(TM) embedded solutions. Motorola will
leverage its own IP and access to IP from other companies such as AMD to enable
the best possible system-level design for customers.
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"System-level design incorporates software and hardware technology,
methodology and industry-based reuse standards to combine blocks of IP onto a
single chip or substrate," Ruiz continued. "This offers developers flexibility,
performance, cost and time-to-market benefits. AMD's expertise in flash memory
and networking will enable us to provide enhanced solutions for our customers
across the consumer, networking and computing, transportation and wireless
communications industries."
ABOUT PROCESS TECHNOLOGY, COPPER, FLASH
Process technology, essentially a recipe for fabricating semiconductors,
refers to the systematic linkage of methods, materials and equipment used in
wafer fabrication plants to produce microchips such as microprocessors, embedded
microprocessors and microcontrollers, and memory devices. Copper interconnect
is the next-generation development in chip manufacturing that replaces aluminum
and other metals, enabling manufacturers to produce higher speed devices with
smaller feature sizes than currently available. Flash memory, a type of non-
volatile memory that retains data when power is turned off, allows greater
flexibility in programming or reprogramming applications, and faster development
of customized products.
ABOUT MOTOROLA
As the world's number one producer of embedded processors, Motorola's
Semiconductor Products Sector offers multiple DigitalDNA solutions which enable
its customers in the consumer, networking and computing, transportation, and
wireless communications markets, to create new business opportunities.
Motorola's semiconductor sales were US$8 billion in 1997.
In the global marketplace, Motorola is also one of the leading providers of
wireless communications, advanced electronic systems, components and services.
Major equipment businesses include cellular telephone, two-way radio, paging and
data communications, personal communications, automotive, defense and space
electronics and computers. Corporate sales in 1997 were US$29.8 billion.
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ABOUT AMD
AMD is a global supplier of integrated circuits for the personal and
networked computer and communications markets. AMD produces AMD-K6(R)and other
processors, flash memories, programmable logic devices, and products for
communications and networking applications. Headquartered in Sunnyvale,
California, AMD had revenues of
US$2.4 billion in 1997.
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CAUTIONARY STATEMENT
This news release contains forward-looking statements regarding Motorola's
flash technology and AMD's microprocessors that involve risks and uncertainties
that could cause actual results to differ materially from current plans and
expectations. These risks include the ability of Motorola to accelerate and
enhance market position; each company's ability to improve time-to-market of its
products and achieve positive affects on expenses; whether AMD will successfully
commence manufacturing in Dresden as currently scheduled; timely development and
introduction of the combined technology and new products using the new
technology and market acceptance of new products; the ability to produce higher
performance processors; AMD's ability to enhance its market position in logic
process technology and embedded flash memory technology; Motorola's ability to
quickly provide complete systems on chips; whether the technology alliance
between Motorola and AMD will result in the expected benefits and be successful;
the effect of changing worldwide economic conditions; and such risks and
uncertainties detailed from time to time in each company's SEC reports.
POWERPC IS A TRADEMARK OF IBM
DIGITALDNA IS A TRADEMARK OF MOTOROLA
K86 AND AMD-K7 ARE TRADEMARKS OF ADVANCED MICRO DEVICES, INC.
AMD-K6, AMD, the AMD logo and combinations thereof are registered trademarks of
Advanced Micro Devices, Inc.
Microsoft and Windows are registered trademarks of Microsoft Corp.
EDITOR'S NOTE: A tape recorded playback is available in the U.S. via 1-800-633-
8284 and via 303-248-1201 (U.S.) beginning at 1:00 p.m. U.S. Pacific Daylight
Time. The recording will remain available until Thursday, July 23.
