Advanced Micro Devices Inc has relaxed the gentle pressure on Intel Corp by changing strategy on its K5 Pentium-class microprocessor, which will now not be generally available until next year, by which time Intel should be well under way with the P6. Advanced Micro is putting as bright a gloss on the delay as it can, saying that it is making so much money with its Am486 parts that it is better off not converting the lines for the K5; it is abandoning the 0.5 micron version of the part and will go direct to 0.35 microns. The company will still attempt to do K5s in volume this year, but for Compaq Computer Corp only. The company admits that the cost and time needed to develop the manufacturing steps for K5 volume production are greater than originally anticipated, and says that it needs to do more testing. But it reckons the delay to the K5 will lead to higher turnover this year because it will be able to sell more Am486 chips than it would have done if it had converted an Am486 plant to K5 prod uction. Advanced Micro says that while it will not now make the planned 500,000 to 1m K5s this year, it will do 5m next year.
