SiMoNsAyS Posted July 23, 2006 Share Posted July 23, 2006 Advanced Micro May Buy ATI for About $5.5 Billion, Person SaysJuly 21 (Bloomberg) -- Advanced Micro Devices Inc., the world's second-biggest maker of microprocessors, plans to buy ATI Technologies Inc. for about $5.5 billion, according to a person involved in the negotiations.A deal for Markham, Ontario-based ATI may be struck in the next few days, according to two people briefed on the discussions, who declined to be identified because the talks are confidential.ATI is battling with Nvidia Corp. to be the No. 2 maker of computer-graphics chips behind Intel Corp. Buying ATI may help Sunnyvale, California-based Advanced Micro in its efforts to keep taking market share from Intel, the world's largest semiconductor maker. The purchase would be the biggest in Advanced Micro's 37- year history and signal its commitment to challenging Intel.``It may be a step AMD has to take,'' said Cody Acree, an analyst at Stifel Nicolaus & Co. in Baltimore. He rates Advanced Micro shares ``hold'' and said he doesn't own them. ``They may be saying, `If I'm going to be an Intel equivalent, I need to be able to offer the market the things Intel can.'''Dave Kroll, a spokesman for Advanced Micro, said the company doesn't comment on rumor or speculation. ``It's still a rumor to me and no one here can speculate on rumors,'' ATI spokesman Dave Erskine said.Buying ATI would Advanced Micro to package graphics chips with its latest processors and get them to customers faster, Acree said.Shares of Advanced Micro fell $3.39 cents to $18.26 in New York Stock Exchange composite trading. ATI rose 83 cents to $16.56 in Nasdaq Stock Market composite trading.Source: bloomberg.com Link to comment Share on other sites More sharing options...
DigeratiPrime Posted July 23, 2006 Share Posted July 23, 2006 Ive heard about this, too early to tell if this would be a good or bad thing. Link to comment Share on other sites More sharing options...
ripken204 Posted July 24, 2006 Share Posted July 24, 2006 ive heard this a while back too. also a rumor before that about intel buying them. im not sure if this is a smart move or not, as digeratiprime says. Link to comment Share on other sites More sharing options...
Aegis Posted July 24, 2006 Share Posted July 24, 2006 (edited) Lots of bad things. They're stuck in an interesting position now. ATI's main revenue apart from GPUs are their chipsets. And for the uninformed, these chipsets are mostly targeted for Intel processors. So if AMD drops that market, then their stock price will suffer, but if they don't, then they're helping their competitor. Also Nvidia was the best AMD chipset manufacturer. With ATI in AMD's backpockets now, I'm not sure Nvidia will still want to make chipsets for them, although if they don't, expect their stock prices to drop as well. Overall, an interesting and very chaotic scenario, with the end result being prices rising from the decreased competition. Edited July 24, 2006 by Aegis Link to comment Share on other sites More sharing options...
RJM Posted July 24, 2006 Share Posted July 24, 2006 (edited) Advanced Micro Devices Inc (AMD.N: Quote, Profile, Research), the No. 2 supplier of computer processors, said it would acquire graphics chip maker ATI Technologies Inc. (ATYT.O: Quote, Profile, Research) for $5.4 billion in cash and stock to expand its product mix and grow market share as it battles Intel Corp. (INTC.O: Quote, Profile, Research).AMD said it would pay $20.47 per share for each share of ATI, a 24-percent premium to ATI's closing price on Friday. ATI's shares rose 5.3 percent on Friday and rallied a further 7 percent to $17.68 after close of trading hours.Full articlehttp://yahoo.reuters.com/news/articlehybri...News&rpc=44 Edited July 24, 2006 by RJM Link to comment Share on other sites More sharing options...
ripken204 Posted July 24, 2006 Share Posted July 24, 2006 aegis, i totgally agree with you. there was also a rumor a while ago about amd buying nvidia, but nvidia is just too big and too expensive.http://abcnews.go.com/Technology/wireStory?id=2228494abc news confims this too. well i guess that amd is buying ati... im just not sure if this is smart. i love the nvidia chipsets, i rly hope nvidia will still make them for amd. i also wonder if amd will work on something that will help amd cpu's and ati gpu's talk to eachother faster/better. Link to comment Share on other sites More sharing options...
Innocent Devil Posted July 24, 2006 Share Posted July 24, 2006 One of the greatest advantages of Intel is that they Setup Chipsets for their own perocessors.That allows tighter interation of the m/b and the componentsif AMD also goes that way,it would certainly a leap for AMDAFAIK AMDs weakness is thatthey build only CPUs no setup chipsets for the CPUsThe AMD cpus are far more better than intels in capabilities even though has less speed than intel couterparts.Sometimes the CPU is even bottlenecked by the limitation of m/bcpu makers know their chips better than others, building chipsets by them will be the best ans stable (like intel)However lets wait n' see whats goin' on Link to comment Share on other sites More sharing options...
DigeratiPrime Posted July 24, 2006 Share Posted July 24, 2006 here we go Intel pulls ATI chipset licensehttp://www.bit-tech.net/news/2006/07/24/in...hipset_license/Intel has pulled ATI's chipset license, meaning that there will be no more ATI (or rather, AMD) chipsets for Intel processors after the end of the year. Link to comment Share on other sites More sharing options...
ripken204 Posted July 24, 2006 Share Posted July 24, 2006 so i wonder if intel will have crossfire... Link to comment Share on other sites More sharing options...
Aegis Posted July 24, 2006 Share Posted July 24, 2006 And if anyone still has any doubts about the deal:http://www.amd.com/us-en/0,,3715_14197_141...ml?redir=goBG01 Link to comment Share on other sites More sharing options...
Scubar Posted July 24, 2006 Share Posted July 24, 2006 (edited) Although i think the Nvidia chipsets are clearly far superior to the Ati ones it will be interesting to see what happens , Those new fancy Ati PhysX demonstrations were rather impressive.http://www.bit-tech.net/news/2006/07/24/in...hipset_license/It has happened , and Intel have already ditched ATI now because of it. Seems Intel fanboys are gonna be abit screwed seeing as nvidia doesnt like intels garbage and would rather make chipsets for AMD Edited July 24, 2006 by Scubar Link to comment Share on other sites More sharing options...
ripken204 Posted July 25, 2006 Share Posted July 25, 2006 i just like nvidia too much, hopefully ati will make a good chipset but i doubt it.and i love how this may be one of the last ati-intel chipsets. lolnow all amd needs to do is buy nvidia in a few years then its the best of both worlds Link to comment Share on other sites More sharing options...
Thunderbolt 2864 Posted July 25, 2006 Share Posted July 25, 2006 Is it going to be a good thing if AMD does buy ATI? Link to comment Share on other sites More sharing options...
Scubar Posted July 25, 2006 Share Posted July 25, 2006 (edited) Its already confirmed, AMD now owns ATI , they bought the company for around $6 billion. Nvidia have also stated they will continue making chipsets for AMD processors. Intel have said they might go back to making integrated graphics soloutions for the meantime, All this hype about Conroe and Kentsfield and its not gonna be much use when they have no graphics cards to play games on PMSL Edited July 25, 2006 by Scubar Link to comment Share on other sites More sharing options...
-I- Posted July 25, 2006 Share Posted July 25, 2006 UPDATE : Microsoft revokes / Not Prolongs, ATI chipset licence... this means, if its true, there will only be an Nforce chipset left for professional Workstations. it this in fact is true, i dare to geuss that the conrou might be loosing some market share by loosing those wanted a conrou with an ati crossfire - as also migrating from ati crosfire to nvidia sli willl 'most likely' cost mutch more that the power gain of buying conroe instead of opteron / althon FX chips.based on the inquirer.... Link to comment Share on other sites More sharing options...
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