Ronaldo Miranda, Advanced Micro Devices’ (NYSE: AMD) president for Brazil and vice president for Latin America since March, is celebrating. “We started 2011 with 7% of market share in laptops and consumer verticals in Brazil, and now we have 20%, which is higher than our goal of 15%,” he said during a news conference Tuesday.
Miranda will have to continue working hard in the region to reach AMD’s goals. The semiconductor design company aims to double its revenue from Latin American operations by 2015. “To achieve this objective, the Brazilian unit needs to triple its revenues. This is not impossible since we expect the local PC market to double.”
If AMD’s Latin American operations are performing well, the rest of the company is not sharing the same good expectations. In early this month, AMD announced a restructuring plan, which laid off 1,400 employees and closes manufactures plants. The company said the restructuring would result in operational savings, primarily in operating costs, of about $10 million in the fourth quarter of 2011 and $118 million in 2012.
“AMD decided not to follow others’ steps, using the same formulas,” Miranda said several times Tuesday, referring to market leader Intel (Nasdaq: INTC).
The PC industry is the most important segment to AMD. Although the PC industry is at an inflection point, Miranda said, it will continue to grow, mostly in emerging countries, which are driving its growth. However, AMD is also eyeing tablets.
AMD “has adjusted itself in order to reduce costs and address future growth. Part of the saved money will be directed to emerging markets,” Miranda said. He expects to hire people for AMD’s Brazilian unit, and said that renewing its professional team is key to increasing AMD’s market share in the country.
In notebook and consumer vertical, AMD has reached 20% market share, according to the company. The growth is attributed to new agreements and partnerships with Brazilian vendors such as Itautec and Positivo.
In the desktop vertical, Miranda noted that market share stayed flat at 23% but added that AMD will focus on the segment next year.
Follow RCR Wireless Americas on Twitter: @RCRAmericas and subscribe to our free periodic newsletters.
