AMD consolidating data centers with cloud, hardware upgrades

AMD is also considering software licensing fees and taxes in data-center consolidation effort

By , IDG News Service |  Data Center, AMD

Over the past few years, closure of data centers has resulted in huge savings, Dana said. The company is retiring old data centers as contracts end and as hardware retires, replacing it with new equipment and hardware, which requires the same level of investment as upgrading existing data centers.

Idle CPU cycles cost the company, and server upgrades have netted AMD millions in savings, Dana said. Socket compatibility provides a cost-effective way to upgrade to faster and more power-efficient chips without buying extra hardware.

"For socket upgrades you have to do your homework," Dana said. Upgrades could be done to cut costs or add performance, or to test out new chips, he said.

But as servers move to the next generation, it's better to change the motherboard, Dana said. Hardware depreciation could range from three to five years.

"It's more cost-effective to change the board than to put the processor on top of it," Dana said.

Agam Shah covers PCs, tablets, servers, chips and semiconductors for IDG News Service. Follow Agam on Twitter at @agamsh. Agam's e-mail address is agam_shah@idg.com

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