Advanced Micro Devices‘ new president and CEO Lisa Su made some prepared remarks today in a conference call where she spoke about taking over the new job at one of the world’s biggest chip makers.
AMD makes microprocessors and graphics chips for PCs, game consoles, and other devices in the shadow of its much bigger rival, Intel. Su takes over after the surprise resignation of Rory Read, who joined as CEO three years ago and subsequently hired Su.
In prepared remarks, Read said, “When I started my journey at AMD more than three years ago the company needed to strengthen and improve on a number of fronts, so I came with a clear job to do. This included ensuring we had the right strategy and business model to deliver consistent financial results and drive our leadership intellectual property (IP) into new growth markets. So we developed a three-step strategy to transform AMD.”
He added, “We successfully completed the first two steps and are now in the third phase: transformation. Together the team has realigned and reestablished our core goals to better serve our customers and position AMD for future success in a competitive industry. We have significantly bolstered our financial position and performance. By restructuring our debt and maintaining our cash position we have strengthened the balance sheet.”
As for Su, he said, “Lisa is a proven leader with a respected record of driving growth and transformation at AMD. Since joining AMD, she has held key roles, such as the head of all AMD business units and most recently as chief operating officer. Now is the right time for her to take the reins and continue driving AMD forward. I have no doubt that Lisa is the right leader for what lies ahead during this important time for the company where the emphasis will be on creating winning products across a broader set of markets.”
In her own prepared remarks, Su said:
Thank you Rory and good afternoon to all those listening in today. On behalf of the board and all AMDers, let me begin by thanking Rory for his leadership, passion, and all that he has done during the last three years to build a stronger AMD. We have outlined a clear strategy, built a stronger business model, and improved our execution. Rory has made a significant difference … and we are a better company because of his leadership.
On a personal note, I will always be grateful for his friendship and the role he played in bringing me to AMD. Today is a very exciting day for me. It truly is a great honor for me to lead AMD at this important time in our transformation and I am thankful to Rory and our Board of Directors for this opportunity.
I joined AMD because I believed that it is one of the few companies in our industry with the technology assets, talent, and market position to really lead the industry forward. After almost three years here, my conviction has only grown stronger.
At our core, we are a technology and product company with a heritage of innovation. The foundation of our success has always been grounded in delivering great products … from setting the industry standard for 64-bit x86 processors to pushing the limits of visual computing to creating the APU.
So what does the transformation of AMD really mean to me?
The transformation of AMD is really about taking our leadership IP and technology assets and applying them to the most important and challenging applications of the future. This is how we create shareholder value and build a strong and sustainable business.
Over the next 5 years there will be more than 50 billion interconnected devices that will need increased computing and visualization capabilities, and the majority of these will be either ARM or x86-based. We have the unique capability to integrate compute performance, graphics leadership, system-on-chip design, and system and software knowledge to build great products for these applications. This is our opportunity to lead.
My key priorities will be centered on several themes. First and foremost we are here to build great products. These are enabled through our investments in differentiated IP coupled with our design, integration, and system capabilities. Mark Papermaster and his team have established good momentum here, and this will continue to be our highest priority.
We will also drive deeper and more strategic relationships with key market leaders. We have proven with the game console ramp that we can be a trusted supplier to key market makers. This model of co-development and deep partnership will become more important in the future and we will expand our efforts in this area.
Lastly, as we continue our transformation we will simplify the company and sharpen our focus. An example of that simplification happened several months ago when we separated the AMD business into two groups around the Computing and Graphics business and the Enterprise, Embedded, and Semi-Custom business. This separation enables us to optimize each business for the unique customer and market requirements. In the coming quarters we will continue to simplify the business and speed our execution across the company.
In closing, I strongly believe that we have the technology assets, talent, and resolve to become a great company. We won’t transform the company overnight; it will take time. However, we do have a clear path. The next few years will be very exciting for the industry and for AMD. I am very much looking forward to the journey. Thank you for joining us today.