AMD BLAZES AHEAD WITH 1.2GHz AMD ATHLON™ PROCESSOR AND 800MHz AMD DURON™ PROCESSOR

SUNNYVALE, CA--October 17, 2000 --AMD today continued to build on its industry leadership position by shipping the highest performance PC processors available on the market today. AMD is shipping the 1.2GHz AMD Athlon™ processor and the 800MHz AMD Duron™ processor to computer manufacturers worldwide.

Leading manufacturers planning to offer 1.2GHz AMD Athlon processor-based systems include Compaq Computer Corp., Gateway and Hewlett-Packard Company, with Gateway offering systems for sale today. PCs featuring the 800MHz AMD Duron processor are planned to be available from HP and other OEMs worldwide.

The 1.2GHz AMD Athlon and 800MHz AMD Duron processors leverage AMD's superior seventh-generation PC processor architecture, leading edge process technology and volume manufacturing capabilities.

"The AMD Athlon architecture has been enabling award-winning system performance for PC users since its introduction. AMD now extends its industry leadership position with the launch of the 1.2GHz AMD Athlon processor, offering the fastest processor for the performance PC space, bar none. The 800MHz AMD Duron processor likewise extends its peak performance in value PCs," said David Somo, vice president of marketing for the Computation Products Group at AMD.

Leading Computer Manufacturers Announce Continuing Support for AMD Processors
AMD Athlon and AMD Duron processor-based systems are available in high volumes from leading computer manufacturers worldwide, and are supported by the widespread availability of Socket A motherboards. The 1.2GHz AMD Athlon and 800MHz AMD Duron processors are also planned to be available in volume from leading systems manufacturers.

"With capabilities that are bound to inspire the most hardcore gamers and multimedia users, the 1.2GHz AMD Athlon processor will allow consumers to enjoy yet another new threshold of computing power with Compaq's Presario 7000 Series of high-end PCs, further enhancing the Presario brand's reputation for cutting edge performance and value," said Mark Vena, Director of CTO Product Marketing, Compaq Computer Corporation.

"Budget buyers on the search for a 'can do' PC will find it in the build-to-order HP Pavilion home PC powered by the 800MHz AMD Duron processor," said Tom P. Anderson, Direct Consumer Business Manager for HP's North America Consumer Computing Organization. "HP plans to offer these new AMD Duron processor-based HP Pavilion home PCs beginning in November at retail kiosks nationwide and direct from HP."

Pricing
The 1.2GHz, 1.1GHz, 1GHz, 950MHz, 900MHz and 850MHz AMD Athlon processors are priced at $612, $460, $350, $282, $215, and $193, respectively, each in 1,000-unit quantities. The 800MHz, 750MHz, and 700MHz AMD Duron processors are priced at $170, $112 and $88 respectively, each in 1,000-unit quantities.

AMD Athlon™ Processor Awards
The AMD Athlon processor, and systems based on it, have won more than 60 award worldwide. For a complete listing, please visit http://www.amd.com/products/cpg/athlon/awards/athlon.html

About the AMD Athlon Processor
The AMD Athlon processor is an x86-compatible, seventh-generation design featuring a superpipelined, nine-issue superscalar microarchitecture optimized for high clock frequency; the industry's first fully pipelined, superscalar floating point unit for x86 platforms; high-performance cache architecture, now featuring 256KB of on-chip level (L2) cache and 128KB of on-chip level (L1) cache; enhanced 3DNow!™ technology with 24 additional instructions designed to improve integer math calculations, data movement for Internet streaming, and DSP communications; and a 200MHz system interface based on the Alpha™ EV6 bus protocol with support for scalable multiprocessing. AMD Athlon processors are manufactured using AMD's 0.18-micron process technology in Fab 25 in Austin, Texas and AMD's 0.18 micron technology in Fab 30 in Dresden, Germany.

About the AMD Duron Processor
The AMD Duron processor is a derivative of the award-winning AMD Athlon processor and is designed to provide an optimized solution for value conscious business and home users. Employing an innovative design, the AMD Duron processor features a sophisticated cache architecture with 192KB of total on-chip cache; a high-speed 200MHz front-side bus, and a superscalar floating point unit with enhanced 3DNow! technology.

The AMD Duron processor offers value conscious buyers access to technology and performance that stands out among other processors in its class. It reflects AMD's 30 years of design and manufacturing expertise and sales of more than 125 million processors. AMD Duron processors are manufactured on AMD's 0.18 micron process technology in Fab 25, Austin, Texas.

Visit AMD on the Web
For more information about today's announcement, please visit our virtual pressroom at http://www.amd.com/news/virtualpress/index.html. Additional press releases and information about AMD and its products are available at: http://www.amd.com/news/news.html

Cautionary Statement
This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally preceded by words such as "plans," "expects," "believes," "anticipates" or "intends." Investors are cautioned that all forward-looking statements in this release involve risks and uncertainty that could cause actual results to differ materially from current expectations. Forward-looking statements in this release include the risks that the current plans of computer manufacturers to offer PCs featuring the 1.2GHz AMD Athlon and/or 800MHz AMD Duron processors will change, and that AMD will be unable to produce the 1.2GHz AMD Athlon and 800MHz AMD Duron processors in the volumes required by customers. We urge investors to review in detail the risks and uncertainties in the Company's filings with the United States Securities Exchange Commission.