Online Exclusive: Account Action

NO. 2 CHIP MAKER AMD OPENS AD REVIEW

Incumbent McCann Is Chasing Rival Intel's Business

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NEW YORK (AdAge.com) -- Advanced Micro Devices, the No. 2 processor chip maker, today said it has put its estimated $30 million global ad account into review.
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Global Business Valued at $30 Million

The review follows news that AMD's ad agency, Interpublic Group of Cos.' McCann Erickson Worldwide, is in pursuit of Intel Corp.'s $300 million global account. Intel is AMD's chief rival.

An AMD spokesman said the company notified McCann that its contract would not be reviewed earlier this month.

Courtney Beuchert, executive vice president and general manager of McCann, San Francisco, in a statement said: "Over the past two years we've been proud to work with the team at AMD. They're a great group and we wish them much success in the future."

AMD's director of corporate branding, Bob Kennedy, is leading the agency search.

Advertising a priority
AMD spent $2.2 million on measured media in the first nine months of 2004, and $2.6 million in 2003, according to TNS MEdia Intelligence/CMR. But the chip maker has recently made advertising and branding of several of its new chips and processors a priority. In company reports, AMD said it spent 13% more, or approximately $30 million, to advertise its AMD Athlon 64 and AMD Opteron brands, and the launch of the AMD Sempron microprocessor products.

AMD's account was handled out of McCann Erickson's San Francisco and London offices, but a current campaign, using the tagline "The Way to Go," was created by WPP Group's SicolaMartin, Austin, Texas. Both relationships are bound to get more interesting in light of Intel's current review of its $300 million advertising account.

Chasing Intel account
Longtime Intel incumbent Euro RSCG Worldwide, the Havas agency that created the Blue Man Group ads, has dropped out. Omnicom Group, WPP Group and Interpublic Group of Cos. have all put forth agencies to compete for the business. WPP's pitch is being led by Berlin Cameron/Red Cell, with help from Y&R Advertising, the network SicolaMartin reports through. Interpublic's pitch is being led by McCann.

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