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February 4, 1999


By CBR Staff Writer

Gateway Inc is set to introduce a PC in Japan containing a processor from Advanced Micro Devices Inc, breaking what had been until now its exclusive reliance on Intel Corp chips. The company confirmed that the landmark machine, the Gateway Profile, will be launched Monday solely for the Japanese market and contains a 400-MHz K6-2 chip. Adding to the significance of the move, Gateway chief executive Ted Waitt told the Wall Street Journal that the company is considering selling AMD-based PCs in the US market, as well. According to the newspaper, Waitt admitted, There is a lot brewing. We are looking at AMD for other things. There is no firm word from Gateway on how far its plans with AMD will go, however, and some analysts think the move could be partly to test Intel’s reaction. It has been speculated that in recent years Gateway would periodically consider becoming an AMD customer as a means of pressuring Intel to gain more favorable prices. The company wouldn’t comment on that topic, nor on Waitt’s remarks. At any rate, the deal with Gateway leaves Dell Computer Corp as the only top-tier PC maker not to ship machines based on AMD chips.

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