Rumor: Does Microsoft have interest in acquiring AMD?

Rumor: Does Microsoft have interest in acquiring AMD?
According to a new report, Microsoft is looking into acquiring struggling chip maker AMD, a move that would help the software giant to revive its own chip operations and save on costs.

Microsoft had its own chip design division nearly a decade ago, but has since moved on to AMD and Nvidia for its consoles and other hardware. Microsoft uses a specialized AMD SoC for its Xbox One.

AMD was once valued at over $20 billion, but now has a market value of just $1.8 billion, a figure that would be nothing to Microsoft who has a value of $350 billion including over $90 billion in cash.

For its Xbox One console, Microsoft pays an estimated $100 to AMD for use the SoC, and at nearly 13 million units sold to date, AMD appears to only be alive thanks to its Xbox One partnership. If Microsoft were to acquire and integrate AMD, it could save money on its consoles and potentially in the future save on smartphones and tablet if they can get AMD chips on par with Qualcomm and Intel in the mobile realm.

Source:
KitGuru


Written by: Andre Yoskowitz @ 1 Jul 2015 0:45
Tags
Microsoft AMD
Advertisement - News comments available below the ad
  • 18 comments
  • deak91

    i think amd needs to spin off ati first then go with the buyout it was so much better before amd bought them

    1.7.2015 00:51 #1

  • Interestx

    Interesting.
    Given that the PS4 (XB1's rival) also uses a custom AMD CPU it'll be something to watch if Microsoft do acquire AMD.

    1.7.2015 06:58 #2

  • deak91

    PS4 (XB1's rival).... well i can see sony using nvidia instead of amd

    1.7.2015 08:44 #3

  • Bozobub

    I hope M$ acquires AMD, although most of the time it dismays me to see MicroSquish's tentacles envelop another victim. There simply needs to be more than one CPU manufacturer, to keep Intel on its toes, IMO.

    1.7.2015 13:28 #4

  • bobiroc

    Originally posted by deak91: PS4 (XB1's rival).... well i can see sony using nvidia instead of amd The CPU is AMD too.. So go Intel and NVidia?? I would say that would increase the cost quite a bit. Part of the reason AMD was chosen for the x86 consoles was that it offered a great CPU/GPU solution or an APU that offered decent performance at a good price. Intel cannot match that with it's GPU offerings and going separate CPU and GPU would increase the cost a whole lot more.

    "Have you tried turning it off and on again?" ~ Roy Trenneman

    http://www.facebook.com/BlueLightningTechnicalServices

    1.7.2015 18:09 #5

  • hearme0

    What about their graphics chips though????

    2.7.2015 00:23 #6

  • bhetrick

    Originally posted by deak91: PS4 (XB1's rival).... well i can see sony using nvidia instead of amd Why? What does being competition have to do with anything?

    2.7.2015 16:29 #7

  • Bozobub

    Originally posted by bhetrick: Originally posted by deak91: PS4 (XB1's rival).... well i can see sony using nvidia instead of amd Why? What does being competition have to do with anything?
    Quite true. Apple depended on Samsung chips for most iPhone models, and in fact, will supply the A9 chip for the next generation.

    Money talks. Furthermore, having your competitor(s) also dependent on you for one or more products is NOT a bad thing.
    ( source: http://www.macrumors.com/2015/04/02/samsung-confirmed-apple-a9/n )

    2.7.2015 16:59 #8

  • greatdeceiver

    Why would AMD have anything to do with Microsoft ?
    The very same company that makes the crap home computer OS.


    I'm surprised Microsoft hasn't gone out of business.
    Let's see Windows Vista and Windows 8 comes to mind.
    Junk....

    Activation has always been more of burden for licensed Windows users than an effective deterrent for piracy to activate it for longer than 180 days.

    Obviously Microsoft must not even trust it's own business customers.


    Not to mention the OS is always hanging up freezing and generally
    crashing and malfunctioning even with the finest state of the art hardware.

    Bizarre OS behavior with some third party application software.
    Easy OS invasion by spyware rootkits and backdoor trojans and viruses.

    Game consoles are not MS's bottom line and they are the least of MS's problems

    4.7.2015 13:21 #9

  • Bozobub

    Originally posted by greatdeceiver: Why would AMD have anything to do with Microsoft ?
    Because they'd like to make a profit, that simple. The VAST majority of PCs (whether or not they're in a corporate or home environment) run Windows, your personal dislike of the OS aside.

    4.7.2015 13:42 #10

  • greatdeceiver

    Originally posted by Bozobub: Originally posted by greatdeceiver: Why would AMD have anything to do with Microsoft ?
    Because they'd like to make a profit, that simple. The VAST majority of PCs (whether or not they're in a corporate or home environment) run Windows, your personal dislike of the OS aside.
    That's because MS benefits from the American concept of monopoly capitalism .

    A capitalist system typified by trade monopolies in the hands of a few people.

    It is easier to bribe a US congressman to pass patently
    absurd and unfair copyright patent and protectionest
    anti competition and business laws.

    4.7.2015 14:15 #11

  • Bozobub

    And?

    Your question was, "Why would AMD have anything to do with MicroSoft?"

    Arguments about monopolies vis M$ and the US may or may not be true, but are also quite off-topic.

    4.7.2015 14:39 #12

  • greatdeceiver

    Originally posted by Bozobub: And?

    Your question was, "Why would AMD have anything to do with MicroSoft?"

    Arguments about monopolies vis M$ and the US may or may not be true, but are also quite off-topic.
    You got a point there.

    4.7.2015 14:42 #13

  • greatdeceiver

    I have nothing but AMD cpu based computer hardware that i built.
    AMD is stone reliable.

    Why is AMD having financial problems ?


    I keep telling myself i want to build a computer system based around a INTEL pinless cpu.


    I wonder if there is any difference between INTEL and AMD
    as far as pro audio recording and music notation and midi file programming is concerned.


    It used to be a propriety thing for midi and audio programs
    and the INTEL cpu.

    4.7.2015 15:05 #14

  • Bozobub

    AMD is having problems because they've been having difficulty matching the performance of Intel's chip lineup, both at base speeds and when overclocked, especially in power consumption (and as a corollary, heat), memory bandwidth, and cache performance. You can expect to use 2-3x more power with AMD, for example.

    Not every performance category is in Intel's favor, but it is what it is. Here's a decent article that may explain better than I can: http://www.techspot.com/review/943-best-value-desktop-cpu/

    That said, for many tasks, especially when not very CPU-intensive, you probably will see almost no difference. Audio recording, music notation, and MIDI file programming won't tax any modern CPU I can think of.

    4.7.2015 15:15 #15

  • greatdeceiver

    Thanks for the information goodsir..................

    4.7.2015 15:26 #16

  • greatdeceiver

    Originally posted by greatdeceiver: Originally posted by Bozobub: Originally posted by bhetrick: Originally posted by deak91: PS4 (XB1s rival).... well i can see sony using nvidia instead of amd Why? What does being competition have to do with anything?
    Quite true. Apple depended on Samsung chips for most iPhone models, and in fact, will supply the A9 chip for the next generation.

    Money talks. Furthermore, having your competitor(s) also dependent on you for one or more products is NOT a bad thing.







    competition keeps people like M$ and INTEL from getting too sloppy and getting overwhelmed by thier own greed and getting too expensive.

    A happy customer is a returning customer.
    The idea is making a customer's money jump from his wallet into
    my cash register.

    You'll never get anywhere being a ripoff artist.

    Capisce ??


    United States v. Microsoft Corporation 253 F.3d 34 (D.C. Cir. 2001) is a U.S. antitrust law case, ultimately settled by the Department of Justice, where Microsoft Corporation was accused of becoming a monopoly and engaging in abusive practices contrary to the Sherman Antitrust Act 1890 sections 1 and 2.


    In the US competition means if a business cant make a reasonably quality made and priced product then it deserves to go out of business much like the US goverment should have not bailed out Wall Street and the US automobile industry (GM).

    5.7.2015 09:08 #17

  • ddp

    wall street & gm were different circumstances as they had no choice but to bail them out.

    5.7.2015 20:23 #18

© 2018 AfterDawn Oy