Dear VersaLogic Customer:
This letter is being sent to alert you to an important change in the long-term availability of several VersaLogic products. Please read it carefully.
AMD, the supplier of CPU chips that are used on many of our products, has notified us that they plan to re-tool the production line that currently produces 486, 586 and K6 CPU chips. AMD needs to use their Fab 25 facility to produce a different line of products and will stop production on these CPU chips on June 28, 2002. The CPU chips produced by this facility are used in our VSBC-2, VSBC-6, VSBC-7, Panther, VL-686-2, and VL-586-1 products.
This decision by AMD, with whom we have worked closely for many years, is a major blow to the embedded computer market. It is very surprising that their long-standing dedication to the embedded market has taken such an abrupt turn. As recently as October 2000 they announced new processors (the K6-2E+ and K6-IIIE+) and assured us of their continuing long-term support for the embedded market.
Please note that this decision by AMD does not mean that they will immediately halt production or that these CPU chips will be in short supply. Normal production of these chips is scheduled to continue through June 2002. Last-time-buy orders can be placed in June for delivery of the chips in late 2002 and early 2003.
VersaLogic management has been hearing rumors of this possible change (various versions of it) over the last few months and has been working closely with AMD to avoid this radical change in their direction. We prepared for the possibility that their decision would ultimately be to issue an end-of-life notice. Now that the decision has been made, our focus will be on assisting our customers with planning and migration issues over the next 12-24 months.
Although this change is not immediate, each customer must look at the long term impact that this announcement will have on their product usage. In some cases this will mean placing an end-of-life purchase order with VersaLogic to continue delivery of the current product even after the AMD chips have been discontinued. For others it may involve qualifying new products, or using Intel Tillamook versions of our current products, for the current application. Tillamook versions of most impacted products will be available before year end. For further information please see the roadmap and migration information on our web site at http://www.versalogic.com/support/rdmp/rdmp.asp or contact us directly at firstname.lastname@example.org.
Again, this change is not immediate, but planning steps should be taken now to assure a smooth transition in the future. We stand ready to support you as needed to make this transition as easy and painless as possible. "