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Advanced Micro Devices New Super Chip Should Frighten Intel

Advanced Micro Devices' (AMD) EPYC server processors may offer better performance for their price than Intel's (INTC) processors, Wells Fargo (WFC) Analyst David Wong said in reiterating his "outperform" rating for AMD.

AMD shares closed down almost 5% Thursday but are climbing in after hours trading.

Wong said AMD's multi-chip module in the Epyc processor will likely beat out all other attempts that have so far failed to find a multi-chip approach that works.

The Epyc model packages four chips together on AMD's Infinity fabric, accomplishing a feat the industry has long struggled with. Intel lost market share to AMD in 2005 when the company attempted to package two Paxville chips together but still lost out to AMD's single chip Opteron.

AMD's Infinity fabric facilitates a high-performance multi-chip solution, Wong said. The data is...