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Friday, 08 February 2013 11:50

AppliedMicro readies new 64-bit chips

Written by Nick Farrell



Heading for the data centre


AppliedMicro is betting that energy-efficient microservers will become widely used in data centres and has come up with a new ARM based 64-bit chip to run them.

Chief Financial Officer Robert Gargus told Reuters he has been increasingly impressed this month with performance test results on new chips that include 64-bit features widely used in servers. While the ARM chips lack grant they might do than Intel because they provide more computing power using less electricity.

Gargus has seen AppliedMicro se stock has surged almost 80 percent since September and he thinks the outfit is on track to see revenue from microserver chips next year. When they come through, those chips could account for as much as half the company's business.

Internet companies like Facebook and big banks are always seeking ways to reduce energy bills. AppliedMicro already sells chips for wifi routers, cellphone base stations and other networking and storage devices. Analysts on average expect it to have $195 million revenue for the fiscal year ending in March.

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