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Microsoft to buy AMD?! [updated]

zMeul

source: http://www.kitguru.net/components/anton-shilov/microsoft-is-interested-to-buy-advanced-micro-devices-source/

 

amd_headquarters_wiki1.jpg

In a bid to revive its chip design operations, Microsoft Corp. may acquire Advanced Micro Devices, according to a source familiar with the matter. The software giant approached AMD several months ago, the source indicated. The result of the talks is unclear.

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related article: AMD clarifies cross-license with Intel: change of control terminates agreement for both

 

Under the terms of the agreement between the x86 chip developers, if the two companies merge with other companies on certain terms, enter into certain kind of joint-venture agreements that effectively change their ownership or get acquired, the cross-licensing agreement is terminated. On Wednesday, it was reported that the agreement is terminated only for the party that changes its control. However, according to Drew Prairie, director of corporate communications at AMD, once ownership of either AMD or Intel changes, the whole agreement is terminated for both parties. As a result, after a transaction happens, the companies need to negotiate a new cross-licensing agreement.

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update September 11th: http://www.fudzilla.com/news/graphics/38725-microsoft-interested-to-acquire-amd

Our industry sources claim that Microsoft is seriously talking to AMD about buying the chipmaker. The pair have been in talks for a while, but we are unsure if the deal is happening or when something will be announced.

It is no secret that AMD's CPU roadmap is hardly competitive. From late 2015 and through most of 2016 the business has been rubbish. The hope of Zen cores being successful is AMD's only option for survival. Microsoft has a lot of cash in the bank and has a place for AMD under its wing.

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this seems unlikely but ... seen stranger things happening

MS doesn't really need AMD except for XB1 hardware; on top of that, x86 licence will be the big missing piece if the deal goes through

it could be the deal of the century if, somehow, MS and Intel negotiate the x86 licence - one thing that might get Intel to sign is if they get ATi in exchange

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If Microsoft buys AMD. Microsoft works with NVIDIA = ULTIMATE GRAPHICS CARD..

 

Wet dream :x

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That seems like a dangerous deal.

I already see a world where windows runs bad on Nvidia

And all the licencing deals would go to shit, Intel needs the x86_64 license...

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Microsoft now owns the PS4? /s

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If Microsoft buys AMD. Microsoft works with NVIDIA = ULTIMATE GRAPHICS CARD..

 

Wet dream :x

It depends. If they join forces, it will be bad for the industry. Nvidia needs AMD, or they'll get complacent. What we need is for AMD to catch up with Nvidia and really put pressure on them.  

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source: http://www.kitguru.net/components/anton-shilov/microsoft-is-interested-to-buy-advanced-micro-devices-source/

 

amd_headquarters_wiki1.jpg

---

this seems unlikely but ... seen stranger things happening

MS doesn't really need AMD except for XB1 hardware; on top of that, x86 licence will be big missing piece is the deal goes through

it could be the deal of the century if, somehow, MS and Intel negotiate the x86 licence - one thing that might get Intel to sign is if they get ATi in exchange

 

Does that mean Apple will move to NVidia? Or buy graphics from Microsoft?

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Microsoft knows that with software and their little hardware they won't last much longer

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2wny7ns.jpg

 

In a bid to revive its chip design operations, Microsoft Corp. may acquire Advanced Micro Devices, according to a source familiar with the matter. The software giant approached AMD several months ago, the source indicated. The result of the talks is unclear.

Microsoft Corp. has been selling game consoles for over ten years now and back in 2006 the firm even formed a division to design chips for its products, primarily game consoles. While this internal group has clearly developed some chips for Microsoft’s hardware, the company used chips designed by Advanced Micro Devices and Nvidia Corp. for its Xbox One consoles and Zune players, respectively. As it appears, Microsoft’s own chip design team cannot really develop competitive solutions for the company’s devices and in order to make its chip operations viable.

The details about negotiations are unclear, just like Microsoft’s exact proposal to AMD. However, since Microsoft has $95.3 billion in cash, whereas AMD’s market capitalization right now is $1.81 billion, the software giant may buy AMD relatively easily. In fact, current value of AMD is three times lower than the company paid for ATI Technologies in 2006.

Analysts estimate that Microsoft pays around $100 for every Xbox One system-on-chip to AMD. Life-to-date sales of Xbox One are around are around 12.6 million units, which means that Microsoft has already paid AMD around $1.26 billion for Xbox One chips. The acquisition of AMD could save it around a billion per year on Xbox One chips alone. It the company develops appropriate chips for smartphones and tablets, Microsoft’s savings could be even higher.

Even though AMD is not really profitable, it has a set of technologies that could interest a lot of companies, including Samsung Electronics, Qualcomm, Xilinx, Chinese developers of microprocessors and other. Since AMD is evidently in trouble these days, it is not surprising that it is approached by other companies with acquisition proposals.

 

Source: http://www.kitguru.net/components/anton-shilov/microsoft-is-interested-to-buy-advanced-micro-devices-source/

 

I know for sure that an acquisition like this would greatly benefit Microsoft, based on statistics (Xbox game consoles, Lumia smartphones, Surface tablets, etc.), but I'm not so sure how much it would benefit consumers because their strategy will obviously differ from AMD. I'm also not sure AMD would let go part of the division that Microsoft needs particularly because it is important for the development of APUs and dGPUs. 

             

 

        

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Reeeeeeeeeepost!

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Reeeeeeeeeepost!

 

Yeah got me while I was making the picture in Photoshop

             

 

        

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Its not gonna happen. Intel wont allow it, theyd rather have AMD release a competitive product for a generation or two, to keep them alive, than allow them be aquired by a profitable big company. (Intel can always revoke their x86 licence if they get bought)

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I KNEW IT
I had some dream that Microsoft was gonna buy AMD and make DirectX and Windows run better on AMD hardware but idk. 

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Fuck that no no that would cripple the entire market

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Or they agree to keep going slow as balls and no progress gets made.

AMD are able to make a good product but they are slow because of the lacking funds. So this likely would speed up progress.

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I KNEW IT

I had some dream that Microsoft was gonna buy AMD and make DirectX and Windows run better on AMD hardware but idk. 

I've so many question about this statement I don't know where to start from. Good thing it was a dream.  :lol:

The ability to google properly is a skill of its own. 

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This is a common sense move for MS. AMD are bleeding dollar bills and are worth a fraction of what they used to be, MS are paying them for SoCs so why not just buy them?

Any deals AMD have with other firms will be protected by contractual obligation anyway, MS can't just demand existing contracts cease or are changed and anyway, MS gain nothing by crippling performance on Nvidia or Intel systems, that's like chopping of your finger to remove a stuck ring.

My worry is if MS start interfering with AMDs CPU and GPU production, they're a software giant who have zero experience in manufacturing hardware.

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I've so many question about this statement I don't know where to start from. Good thing it was a dream.  :lol:

Ehh everything would be horrible then.....Nvidia and Intel might be screwed if AMD has the better optimization or something. 

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