BANGALORE, INDIA: Chip major Advanced Micro Devices (AMD) today announced the launch of Magny-Cours, a new server platform featuring 8- and 12-core x86 processor for the high-volume 2P and value 4P server market, which will be sold under the name Opteron 6100.

A second family, a 4- and 6-core chip, will be sold as part of the Opteron 4000 family, or the "Lisbon" code name.

“These are the world’s first 8- and 12-core x86 server processors, and have a host of new features, including 4 memory channels, HyperTransport technology 3.0, a fourth HyperTransport technology link for better processor-to-processor communication in 4P servers, and new power management features that allow us to double the cores, and achieve up to double the performance, without having to double the power or the cost,” John Fruehe, director of product marketing for Server/Workstation products at AMD, said a in a blog.

The newly announced chip, which AMD actually began shipping in February, is kind of a war declaration aimed at Intel, which is also going to announce its new series of Xeon processors this week.

Fruehe thinks that Intel would have a hard time keeping up with the product family because it aims to deliver four cores for the price of two. Also it has got Direct Connect Architecture 2.0 – that lets the CPUs talk to each other a bit faster.

“We believe that Direct Connect Architecture 2.0 will deliver more performance for important workloads,” said Fruehe.

“The 6100 series removes the so-called 4P tax. People look more towards value and cloud computing will be more important. Customers used to care about raw performance but as we filled out the data centers, they were running out of room and power became critical. The desire to keep skilled IT people was important and they cut back on the number of servers they were buying, as a result of the recent economic downturn,” he said.

After this, AMD also plans to introduce Interlagos, with 12 and 16 cores, in 2011. To further strengthen the chip battle with Intel, AMD also said Acer Inc. will start using its server chips for the first time. It said Acer, the world’s second-largest personal-computer maker, will build computers based on AMD's 6000 series of Opteron processors.

And will this have a 'Bulldozer' effect on Intel? Let's wait and watch.