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Duron to be Replaced by Athlon
By Mario Rodrigues

Date: April 18, 2002

During AMD's webcast of its Q1 financial results, the chipmaker announced the demise of Duron, which will happen late this year. Slower speed grades of Athlon XP will be used to supplant Duron in the value segment. This makes sense for several reasons. On the marketing front, the value space gets a nice performance boost and will also benefit from Athlon XP's success, which will add little promotional cost. From a manufacturing perspective, AMD has said that the cost difference between Duron and Athlon is not that great, so as it transitions to 130nm technology in an economically challenged sales environment, it makes sense for AMD to take this route to help maintain market share. On the effect that this may have on Intel, their marketing gurus are no doubt discussing how to react to this very situation. This makes Willamette-128, Celeron's replacement, a dead product; it just won't be able to compete with Athlon. An interesting thread on this subject is here. It will be interesting to see if Celeron gets the chop.  

AMD is also using the Athlon XP nomenclature to re-brand its notebook products as well, which means that AMD is using the success and high exposure of its Athlon XP brand to maximize sales of its mainstream products. With this level of investment that is going into the Athlon XP brand, it may be possible that AMD has plans to continue with this name in one form or another when Hammer arrives. Maybe we'll see the Athlon XP name on Ferrari's dominating Grand Prix racecars as well. AMD's Q1 webcast can be listened to from here. The details of that webcast can be read here and here. VHJ's article on Hammer names can be read here.

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