AMD (NYSE: AMD) will release its powerful new Barcelona chip today. The chip is a "quad core", meaning that it has four processor on one platform. The new product is aimed at high-end servers and PCs and is being shipped in products from Dell (NASDAQ: DELL), HP (NYSE: HPQ) and Sun (NASDAQ: JAVA).

Larger rival Intel (NASDAQ: INTC) has taken much of the server market away from Advanced Micro over the last year or so. Barcelona is a bid to get that back. Nathan Brookwood, an analyst with Insight 64 told Reuters, "The stakes here are for AMD to staunch the erosion in its marketshare and to once again go on the offensive against Intel."

For Advanced Micro, it may be too late. The company has been left for stock market "road kill" by investors. Shares of the company were above $42 in early 2006. They now change hands below $13. The company took on a great deal of debt when it bought chip company ATI. Wall Street has been concerned that AMD will have trouble paying down that debt. The No.2 x86 processor company has also lost its top two sales executives in the last month.

The markets will know fairly soon if Barcelona is gaining share. Several research firms track chip sales in PCs and servers. Intel has already introduced its own "quad core" products.

If Barcelona does not do well, it is likely that the company will see major management changes and that ATI and other businesses may have to be sold off. Things are that dark for Advanced Micro.

Douglas A. McIntyre is a partner at 24/7 Wall St.