Advanced Micro Devices Inc has been punished so hard for unexpectedly ousting its CEO more than 6 months ago that the second-quarter profit it posted gave investors a measure of confidence about its direction. AMD shares rose 38 cents, or 5.9 percent, to $6.88 after the No. 2 maker of computer microprocessors reported its results. The stock had fallen by 30 percent since CEO Dirk Meyer was ousted in January. The numbers were a rare bright spot in an industry in tumult.
They showed early signs of success for a new chip that combines general-purpose and graphics capabilities. AMD sold more than 7 million of the "accelerated processing units" in the second quarter, more than half of the total since they went on sale in November. The chips feature an innovative design that represents the kind of creative risks that allow AMD to remain a technological trendsetter despite its perpetual underdog status against Intel Corp.
AMD is counting on the chips to help it gain market share against Intel, which controls 80 percent of the world's PC microprocessor market. AMD also needs the marketing buzz to help generate some excitement as the PC market flags.
