Gen-3 chips are already under research, and a lab is already founded and the researcher candidates are decided already, all according to the second latest update. But that's far far away in the bitcoin time scale. Even everything goes smoothly and the gen-3 chips are successfully designed in time, it takes at least 2 months for design and testing and 2 months for producing testing chips and another 2 months for mass production. So we are very lucky if we can benefit from Gen-3 chips in March 2014.

Meanwhile, the Gen-1 chips can be sold $20/G on Oct, $10/G on Nov, $5/G on Dec. It will become not profitable at all in next year. So if the current 500TH are sold well, then at best there're another 500TH to be sold this year.  If not, then these 500TH is the last batch of Gen-1 Chips.

Without Gen-2 Chips, AM can do nothing for at least 3 months (Jan 2014 - March 2014) except mining with the current 200TH (less than 0.5% then). That's the reason I said AM has to turn into a non-mining company (providing board producing, cooling solution, and deploy service as friedcat said in his post before) if they don't order Gen2 Chips immediately.