Kerrisdale Capital Investment Analysts predict that AMD will most likely have to file for bankruptcy in 2020

[spartaman64]

Someone want to try and explain a logical reason for them to be bailed out?

monopoly in cpu and gpu 

[spartaman64]

im not sure about a samsung buyout because i like how amd does open source projects and that will probably end with samsung and we will just get proprietary drivers for linux

[Guest Kloaked]

im not sure about a samsung buyout because i like how amd does open source projects and that will probably end with samsung and we will just get proprietary drivers for linux

It would also make AMD more profitable.

[vm'N]

I don't see samsung buying AMD.

Samsung is not interested in the desktop market.

Samsung have no interest in x86.

There is to much they have no interest in, to justify for what they want.

Edited May 22, 2015 by vm'N

[spartaman64]

It would also make AMD more profitable.

i think there should be some cooperation instead of just trying to slam each other down and in turn making it worse for the customers. and come on nvidia having proprietary linux drivers doesnt make you more profitable 

[Guest Kloaked]

i think there should be some cooperation instead of just trying to slam each other down and in turn making it worse for the customers. and come on nvidia having proprietary linux drivers doesnt make you more profitable

It's not just about their Linux drivers, lol.

I don't see samsung buying AMD.

Samsung is not interested in the desktop market.

Samsung have no interest in x86.

There is to much they have no interest in, to justify for what they want.

Samsung is interested in everything mate. Their name is on just about everything for the most part whether you realize it or not, case in point.

[spartaman64]

It's not just about their Linux drivers, lol.

Samsung is interested in everything mate. Their name is on just about everything for the most part whether you realize it or not, case in point.

yes i know it will make amd profit more if they lock tressfx and future things to their platform but it will make things worse for us 

and samsung is interested in everything except vesa monitor stands lol

[SurvivorNVL]

It's not just about their Linux drivers, lol.

Samsung is interested in everything mate. Their name is on just about everything for the most part whether you realize it or not, case in point.

I expect the future will either hold China as the world government, the EU as the world government, Google as the world government, or Samsung as the world government.  Really, Samsung is going to be in just about every market they can get involved in, and when they get involved--man do they excel.  Samsung CPU's, GPU's, Motherboard's, Samsung the action figure, Samsung the cereal!  Samsung the flame-thrower.

[TheMissxu]

AMD as a company is but a vehicle nowadays, it is not the main enterprise entity. AMD is supposed to make losses and not pay taxes, and is supposed to be asset stripped completely. Most important AMD assets have been migrated to GF.

Here is the link. I always love Zoltan's spiels.

[SeriousDad69]

If AMD goes bankrupt Intel and Nvidia are going to get rocked hard by antitrust laws. Intel and Nvidia would most likely both be split into several smaller companies to keep competition going. That's what's going to happen if AMD dies, what's potentially going to keep them alive is all just speculation and rumors.

[vm'N]

If AMD goes bankrupt Intel and Nvidia are going to get rocked hard by antitrust laws. Intel and Nvidia would most likely both be split into several smaller companies to keep competition going. That's what's going to happen if AMD dies, what's potentially going to keep them alive is all just speculation and rumors.

I think Nvidia will be safe, as they are not that big of a company.

Intel could use the argument, that x86 no longer is big enough for 2 big firms, and there will be competition from other ISA.

[Kinda Bottlenecked]

Here is the link. I always love Zoltan's spiels.

 

That's a good read, sounds like AMD isn't in as much shit as the article makes it out to be? 

Even if AMD were to go bust, GF would have already gotten hold of their assets and continue what AMD was doing under the GF name?

Did I read that correctly? :lol:  

[TheMissxu]

That's a good read, sounds like AMD isn't in as much shit as the article makes it out to be? 

Even if AMD were to go bust, GF would have already gotten hold of their assets and continue what AMD was doing under the GF name?

Did I read that correctly? :lol:

Pretty much. I've excerpted the more relevent portion (to AMD's bankruptcy that is).

We'll have to see what the future brings, but if AMD, well, GF/ATIC, is sitting on a really revolutionary technology and some concrete plans for the next generation of computing hardware, ATIC may well decide to dump the AMD vehicle completely, and go forward with another vehicle or brand. It would also allow them to defer some development and marketing costs to the US tax payers if they would choose to strip AMD blind and then let it go bankrupt for instance, which would be a good plan insofar it has been a very popular thing with various global companies in the last couple of years.

Basically, with AMD losing so much money recently, the idea is that GF/ATIC are the real companies that are making money from consumers (We pay AMD and AMD pays GF/ATIC).

[SeriousDad69]

I think Nvidia will be safe, as they are not that big of a company.

Intel could use the argument, that x86 no longer is big enough for 2 big firms, and there will be competition from other ISA.

It doesn't matter how big they are, they would have a monopoly over Graphics/Rendering cards. Unless you consider http://www.matrox.com/graphics/en/ to be a competitor lol.

[patrick3027]

"We have identified a toxic combination of non-competitive product range, technological leaps competitors, several structural features, ineffective policies and deteriorating balance sheet."

I understand this sentence until the word 'range'. After that it's just fancy meaningless marketing terms.

AMD will release Zen and they will be saved, problem solved.

[TheMissxu]

AMD will release Zen and they will be saved, problem solved.

Well, first generation Zen probably won't be an i7-killer. That's just the nature of improvements. Sure they are going to improve performance-per-watt by 2-fold, but they are going to decrease TDP by 55 watts. Same deal with IPC; more instructions per clock, but I gaurentee a lower clock-rate.

 

Don't get me wrong... More performance with low TDP *is* a huge deal, but it isn't going to have massive performance increases (only mild).

[vm'N]

It doesn't matter how big they are, they would have a monopoly over Graphics/Rendering cards. Unless you consider http://www.matrox.com/graphics/en/ to be a competitor lol.

Future (~7nm) APU will be competitive for those markets.

[Guest]

"We have identified a toxic combination of non-competitive product range, technological leaps competitors, several structural features, ineffective policies and deteriorating balance sheet."

I understand this sentence until the word 'range'. After that it's just fancy meaningless marketing terms.

AMD will release Zen and they will be saved, problem solved.

So because you do not understand it, it is meaningless marketing giberish? What it means is that AMD has major issues internally with the way it manages its work flow. It means that AMD has far too much bureaucracy internally in the way it decides things. Lastly it means that AMD's financial records are absolutely terrible.

[Birdhunter]

On the bright side: If consoles stay that low in hardware, AMDs APUs will eventually become viable. But for now, they are a product with no market, a market that AMD wanted to generate but failed to do so.

Unless the 300-Series is a blast, they will have to lay of staff (and their suppliers aswell). Those cuts would be terrible, but at least allow AMD to survive for the time being. I don't see them going completely bankrupt, but layoffs and loosing/selling whole segments will be unavoidable at that point.

Then, again, we see ARM, Samsung, and others growing strong - there might be some competition in the futur. Intel is unlikely to raise the prices too high, if a monopoly would happen, because that allows less powerful but cheaper chips to become more viable, drawing in competition.

At the end of the day, everything is just speculation and nothing more. I wouldn't like to see AMD go, but then again, who would pay to keep a company alive whose selling products that nobody buys anymore?

[captain cactus]

That's what ya get when you keep rebranding the same shit over and over again.

[ItsAFeature]

They're losing money. That much is true. And they have a huge debt that is due like Patrick said. But their biggest problem IMO is actually how they are viewed by the average consumer.

 

You've got Nvidia / Intel fanboys and AMD fanboys. Those will always continue to buy the products of the company they support. Then there's the enthusiast who just buys the best product for their needs. And all of these groups together still make up a small minority of the consumers. 

 

AMD's real problem is that the average consumer seems much more likely to buy Intel and Nvidia products because of the way they are marketed and how others in the industry view them. Most of my friends who own consoles have no idea that AMD provided the hardware. They think it's all Sony and Microsoft. And they don't care. Likewise, most of my friends and coworkers who buy laptops or gaming computers simply "know" that an Intel and Nvidia spec sheet is better. That's been ingrained in them. And they won't change.

 

AMD is fighting an uphill battle to regain the average consumer. And that is their real struggle. Because that's where the money is.

 

Ask the average consumer what processor they should have in their laptop and they almost unanimously say Intel i5 or i7. Even if an APU from AMD would actually be a great fit for their needs. Same with graphics cards. You recommend the 290X as a fantastic bang for the buck and they will still go to Best Buy and buy a 770 for the same amount of money because "Nvidia is better."

[gilang01]

They're losing money. That much is true. And they have a huge debt that is due like Patrick said. But their biggest problem IMO is actually how they are viewed by the average consumer.

 

You've got Nvidia / Intel fanboys and AMD fanboys. Those will always continue to buy the products of the company they support. Then there's the enthusiast who just buys the best product for their needs. And all of these groups together still make up a small minority of the consumers. 

 

AMD's real problem is that the average consumer seems much more likely to buy Intel and Nvidia products because of the way they are marketed and how others in the industry view them. Most of my friends who own consoles have no idea that AMD provided the hardware. They think it's all Sony and Microsoft. And they don't care. Likewise, most of my friends and coworkers who buy laptops or gaming computers simply "know" that an Intel and Nvidia spec sheet is better. That's been ingrained in them. And they won't change.

 

AMD is fighting an uphill battle to regain the average consumer. And that is their real struggle. Because that's where the money is.

 

Ask the average consumer what processor they should have in their laptop and they almost unanimously say Intel i5 or i7. Even if an APU from AMD would actually be a great fit for their needs. Same with graphics cards. You recommend the 290X as a fantastic bang for the buck and they will still go to Best Buy and buy a 770 for the same amount of money because "Nvidia is better."

yeah it's true. their image of being "the cheaper choice" won't rub off anytime soon. sadly most of the public views on this company has some truth in it. they are behind in performance, CPU and GPU (not so much though, but still behind).

[NateGSR117]

They should go big or go home. If they are losing money anyways why not redo the whole product line. Besides refreshes for the third time is crazy.

[Humbug]

They should go big or go home. If they are losing money anyways why not redo the whole product line. Besides refreshes for the third time is crazy.

Their GPUs aren't the major problem. They will probably regain some decent market share with the new models like they always do, and the high end cards will be new silicon and they generally do not disappoint. Rebranded lower end cards will probably use the version of GCN in the 285 scaled up where needed and hawai. They won't rebrand cards like the 280x and 270x cause they are too old and don't have the same feature set. E.g. No freesync

AMD's major issue is the CPU business. Intel has hammered them into the ground with superior tech to the point where they cannot sell anything anymore with decent margins in decent quantities. And they have had to throw in the towel for now in the server market as well. That's what needs to change for the company to turn around; so much riding on Zen for the future of AMD. I wonder if Jim Keller can sleep at night LOL.

[patrickjp93]

Their GPUs aren't the major problem. They will probably regain some decent market share with the new models like they always do, and the high end cards will be new silicon and they generally do not disappoint. Rebranded lower end cards will probably use the version of GCN in the 285 scaled up where needed and hawai. They won't rebrand cards like the 280x and 270x cause they are too old and don't have the same feature set. E.g. No freesync

AMD's major issue is the CPU business. Intel has hammered them into the ground with superior tech to the point where they cannot sell anything anymore with decent margins in decent quantities. And they have had to throw in the towel for now in the server market as well. That's what needs to change for the company to turn around; so much riding on Zen for the future of AMD. I wonder if Jim Keller can sleep at night LOL.

Jim Keller could give two flips about AMD as a company. He's just in it for the challenge.