AMD Finds Big Time Tough

Advanced Micro Devices(AMD Quote) fought for years to put its chips inside Dell(DELL Quote) PCs. Now it's being stung by its ascent into the big leagues.

With first-quarter sales now expected to lag initial forecasts, AMD CEO Hector Ruiz ascribed the shortfall to problems in adapting to the rapid shift in the profile of its customers.

Essentially, explained Ruiz at the Morgan Stanley Technology conference Monday in San Francisco, AMD neglected its traditional base of channel customers -- a catch-all term that includes regional PC resellers and makers of "white box" systems -- in favor of top-tier PC makers. ...