A method is provided for manufacturing a segmented diamond blade (1). The method includes the steps of placing a core (2) into a mold and pouring a metal mixture into a mold cavity surrounding the core (2). The metal mixture is cold pressed to the core (2) to form a blade having a continuous outer rim (14). Thereafter, the core (2) and outer rim (14) are suspended in a free-sintering furnace which is heated to an initial diffusion bonding temperature. The core (2) and outer rim (14) are heated for an initial bonding time period. Thereafter, the furnace is heated to a final diffusion bonding temperature and the core (2) and the outer rim (14) are maintained at this temperature for a final diffusion bonding time period. After the blade (1) cools, it is placed in a cutting tool and segmented.