Skip to main content

Quanta Sues AMD Over "Faulty" Chips

Quanta Computer logoThe world's largest contract maker of notebook computers, Quanta Computer Incorporated, has filed a lawsuit against Advanced Micro Devices Incorporated (AMD) for what Quanta is calling a breach of contract. Quanta is accusing AMD of selling the company defective products and thus seeks compensation.

AMD and its ATI Technologies Incorporated unit sold chips to Quanta that did not meet the company's tolerances and were unfit for particular purposes, the company noted in a federal court filing in San Jose, California. The chips Quanta purchased were used in notebooks Quanta manufactured for NEC which caused the computers to malfunction and crash according to the court filing.

In a statement from Quanta that is found in the court documents says, "Quanta has suffered significant injury to prospective revenue and profits." Quanta is seeking a trial by jury as well as damages for the faulty chips. AMD, which accumulates over $6 billion in annual revenue, is the second largest maker of computer processors, bested only by Intel, which has a staggering $50 billion annual revenue.

The lawsuit also claims breach of warranty, negligent misrepresentation, civil fraud and interference with a contract. "AMD disputes the allegations in Quanta's complaint and believes they are without merit," AMD spokesman Michael Silverman said in a statement. "AMD is aware of no other customer reports of the alleged issues with the AMD chip that Quanta used, which AMD no longer sells. In fact, Quanta has itself acknowledged to AMD that it used the identical chip in large volumes in a different computer platform that it manufactured for NEC without such issues."

In addition to NEC, Quanta makes computers on contract for HP, Dell and Acer. The company's shares increased 1.9% in Taipei today before news of this lawsuit went public, and the case has been filed as Quanta v. Advanced Micro Devices, 12-cv-12, U.S. District Court, Northern District of California.

Source: Bloomberg - Quanta Sues AMD Over Allegedly Unsuitable Chips for NEC Notebook Computers

SMBnow.com is news of, for and by SMBs!
SMBnow.com... The Small & Medium Business Magazine!
Labels:

Comments

Post a Comment

Popular posts from this blog

Airbag Recall! Don't Risk Your Safety!

Certain vehicles, equipped with Takata Airbags are currently being recalled nationwide. Customers are being urged to go to the NHTSA website; https://vinrcl.safercar.gov/vin/ and enter the vehicles Vehicle Identification Number (VIN) to see if their vehicle is included in this recall.  VIN numbers can also be checked through the OTS website; http://www.ots.ca.gov .  If the vehicle is included, they are to immediately contact their nearest dealer and schedule an appointment to have the vehicle repaired for free. In particular, if you own a 2001-2003 Honda or Acura vehicle, you are asked to immediately take your vehicle to an authorized dealer for inspection. Even if you don't own this type of vehicle, please  visit the SaferCar.gov website and check your vehicle VIN. It will identify other recalls as well.
Post a Comment
Read more

How to Make Money on Fiverr (How I Make $4000 a Month)

Fiverr pays if you for hobbies you play with   Drawing ,   Designing,  Graphics, Art, SEO, Article, music and audio, digital marketing, fun and live-style,  How i make up to  4000 dollar ( 1261000 naira   )  I joined Fiverr  https://michaeltrendz.blogspot.com.ng/  on September 2015 and have generated over 6 million naira from it. Prior to joining, I used to get angry with my friend who was a freelancer on Fiverr.   We were running an offline joint-venture business back then. Every minute he could steal from time, he will quickly log in to Fiverr to do what I didn’t know. Back then, I always saw Fiverr as a $5 marketplace and I couldn’t imagine how he would always dedicate more time to his Fiverr account instead of our offline business which was making us good money…..(so I thought). I didn’t miss any opportunity to make joke of him for slaving away on Fiverr and he wasn’t deterred at all by it……possibly he’d be laughing at me in his mind. It was not until my fiancé finished school and
Post a Comment
Read more

NPOWER BUILD TRAINING FOR THE NPOWER PROGRAME COMMENCES

Good morning, N-Power Build trainees, are you ready for an exciting time? Training for #NPowerBuild commences March 1st, 2018! Are you ready N-Power Build trainees? #NPowerNG #NPowerBuild #NPowerNG
Post a Comment
Read more