He said that it was important to look at Chromebook and what Google’s grand plan with it is.
“For us, it’s just a business decision, when you need our type of CPU and graphics technology that can make a difference.”
Chromebook sales are tiny. IDC estimated that 4.6 million Chromebooks were sold in 2014, compared to 304 million PCs for the year.
Intel has come to dominate Chromebook sales with Celeron and Atom chips, although some models also feature third-party ARM chips inside.
But Chromebooks are generally considered low-cost productivity machines and AMD is trying to place itself as a graphics and media chipmaker. Carrizo, dedicates four “Excavator” CPU cores against eight Radeon graphics cores and16 percent of the die is dedicated to CPU cores.
“For us, it’s when do you need our CPU and graphics capability that can make a difference,” Papermaster said. “Again, you’ll see that there’s these rock-bottom markets… so those don’t have our value proposition.”
“We play in the whole range of the market. We’ll play in the low-cost value” market, Papermaster added. “You have to at least get paid for that value when you’re working on graphics. You go below that, and you’re looking at $7 chips.”