The AMD naming scheme is supposed to help you compareits performance level to an Intel. You're correct: the 4000+ should perform like an Intel 4.0 ghz processor.
The "actual" clock speed of the AMD CPU is much less than 4ghz, because of its internal architecture.
In simplified terms, the AMD CPU can do in about 12 steps what the Intel processor needs 20-something steps to do. So an Intel processor would have to work many times faster (higher clock speed) to complete the same task, because it takes more steps to arrive at the same conclusion.
That's why AMD adopted their naming scheme, so it would be easier to figure out that a 3800+ would give you the same performance of a 3.8ghz Intel, even though the actual speed would be 2.6ghz or something.
And yes, they're that much cheaper than Intel, which makes them a very popular choice. If you can get the same performance at slower clock speeds (less heat, less power consumption) for less money...it makes sense, right?
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