How on earth did this happen?
AMD was the first to implement x64, the first to make duel core mainstream, the first to start moving parts of the NB onto the CPU, the first to have real thread prediction and out of order processing, the first to focus on efficiency instead of raw clock speed. They had everything right during those glory days, and then stalled out with their Phenom II series.
During those glory days Intel was still chasing their personal pipe dream of 10GHz CPUs and netburst architecture at the cost of everything else. Intel was baggaged with Rambus memory. Intel was the one with the CPUs that nobody could cool properly. Intel was the one that focused more on 'platform performance' instead of actual performance (VIIV, Centrino, etc.) which we all knew was a load of crock.
Now we see AMD selling the 'platform' game with vision and APUs. AMD is pushing needless cores instead of solid core design. And lastly AMD is not the one defining the future of tech (many-core, manufacturing process, effective chip redesigns, wifi on CPU, etc.) anymore, and that is the #1 reason why they are failing right now.
Purchasing AMD was the only thing that kept the company alive during the PhenomII days, and (other than driver issues) has done very well for themselves. But today we see nVidia killing them in the dedicated GPU market, Intel quickly catching up in the integrated market, nVidia's ARM chips beginning to eat at AMDs low end CPU market, and Intel killing them at the high end and !/W end. It is like a noose slowly coming around their necks.
I may not like the near defeatest philosophy behind this new CEO, but he simply may not have a choice. If AMD does not re-invent themselves (perhaps as a PC maker like Mac? or a patent holder like IBM or Microsoft?), then they will simply be engulfed by the pressures coming from above and below, and I wish them luck.
I have only ever built 1 AMD machine (AMDs was not supported by pro audio software before that, and then Intel came back to life after it), but it was a good machine, and it still runs great 7 years later. they are a good company, and I hope they find a new route to take.