With its acquisition of ATI , Advanced Micro Devices ( AMD ) is skip to break Intel ’s “ monopoly grip ” on the chip market by offer more flexibility to PC Maker and moving into emerging markets , accord to an AMD executive .

By incorporating ATI technology , AMD is looking to offer chip platforms — admit a central processing unit , a graphics potato chip and chipset — for enjoyment by PC manufacturers , said Thomas M. McCoy , AMD ’s executive vice president and primary administrative ship’s officer . McCoy detail AMD ’s strategy to newsperson in London on Tuesday , a Clarence Shepard Day Jr. after the learning was announced .

The platform approach is also used by its rival Intel , which dominates the chip marketplace .

For example , in the host market place , where AMD is strong , the caller had a 22.9 pct market share compared to a 76.8 percent share for Intel at the remnant of the first quarter this year , according to market researcher IDC .

fresh platforms will be used to move AMD into the expending digital gimmick market , where ATI graphics chips have a stronghold . AMD also will move into emerging market , such as South America , India , Western China and Africa , where demand will rise for low - toll , integrated processors with graphics capabilities , McCoy said .

“ In particular , we need to grow our business on the mobile side , ” McCoy aver , adding ATI is warm in the sector .

AMD ’s partnership with Nvidia , ATI ’s chief competitor in the graphics chip market place , will not interchange , McCoy said . AMD is “ highly dependent ” on Nvidia and will continue to work with the company as long as client requirement remains , he said .

ATI has worked with Intel for decennium even though Intel has been developing its own in - house graphics processing capabilities . The purchase by AMD will not shut out Intel , McCoy say .

“ It will be Intel ’s selection if it wants to preclude that [ relationship ] or not , ” McCoy said .

McCoy alleged that Intel has bruise PC shaper by not give them enough of a selection of chip platform , and that this limits founding by the manufacturers .

He said AMD will permit microcomputer manufacturers have a greater say in designing silicon chip platform .

personal computer manufacturers would like to see a marketplace where two chip producer halt equal market share , since the manufacturers could then make for off the provider against each other , concord to Brian Gammage , a vice president at Gartner Inc.

However , PC manufacturers may not show much involvement in AMD ’s architectural plan to volunteer more input in chip design , since uniformity of PC portion is cardinal in the personal computer industry , say Gammage .

Hardware for the heap marketplace ca n’t be alter dramatically because it has to exploit with standard software , Gammage said . There is a limit to the amount of differentiation microcomputer shaper can offer to the mass market , he said .

And overall , as personal computer components have become commodities , costs have been cut in the manufacturing supply chemical chain to the point where PC manufacturer compete mainly by cutting retail cost , Gammage said .

Dell , for example , has historically lead the microcomputer market in its supremacy of logistics and power to reduce supply - chain costs . One of the major manufacturer using Intel chips and the PC grocery - plowshare leader , it has been a dupe of its own winner , Gammage said . Other PC makers have learned from Dell , which is now reduced to single - figure growth .

It intend AMD is charging ahead in an uncertain securities industry .

“ There ’s a very clean-cut gamble going on here , ” Gammage said . “ AMD ’s look to buy this acquisition to take a greater part in a market where when intensity go up , prices come down . ”

Intel declined to point out for this story .