AMD receives $622 million investment

By Justin Mann on November 17, 2007, 2:48 AM
Ever since AMD's acquisition of ATI, their financial outlook has not been good. Partially due to Intel putting increased competition on them and partially due to other strategies gone awry, they have been looking for ways to recover. While they do have a lot of prospects on the horizon, such as Phenom, they still need cold hard cash to make things happen.

As as a result, AMD has sought cash from third parties, and now has received $622 million from an investment company known as Mubadala, based in the United Arab Emirates. In return for their investment, the company will be receiving an 8.1% share of AMD, which could give them considerable sway as to AMD's future endeavors.

While this is certainly not bad news for AMD, it's also not good either. Hopefully, with the newer Radeons and the next line of processors they will begin to turn things around. For many years we saw Intel and AMD go neck-and-neck in a lot of things, and it would be a shame to see that slip away now




User Comments: 7

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OUTLAWXXX said:
I wish I could receive that much in aid when times are tough... LOL
canadian said:
Lol, that would be sooooooooooo cool
phantasm66 said:
I bet ya ten bucks that in ten years, AMD will just be doing graphics cards. Mind you, by then graphics cards will be as complex and powerful as the current mobo and CPU, but Intel will ultimately win the CPU market back to itself.
canadian said:
Im think AMD will slow down a lot. They will still make CPU's, but I think they will lose their edge. I think that another company will eventually step in. IBM possibly? VIA?Who knows?
PanicX said:
[b]Originally posted by phantasm66:[/b][quote]I bet ya ten bucks that in ten years, AMD will just be doing graphics cards. Mind you, by then graphics cards will be as complex and powerful as the current mobo and CPU, but Intel will ultimately win the CPU market back to itself.[/quote]I'd take you up on that bet. While I could see Intel edging AMD out of a few current markets, I'd bet that in 10 years they'd still be making specialized "nitch market" CPU's if they're not still competing in desktop and laptop markets. And I think they still have a great server product that will continue to perform well in the future.
phantasm66 said:
I dunno... the machines are changing. In the future, its going to matter a lot more what chipset you have, rather than the actual CPUs. As far as chips go, it will be about how they talk to each other more than how fast or well they individually perform - for there shall be many of them. 8, 16, 32, 64 cores - those days are coming. Somehow I see Intel leading us into that, with AMD lagging behind and ultimately concentrating more on the graphics card market. Intel will own the mobo, AMD the graphics - that's this market in about 10-15 years time I think.
icye said:
I don't know if AMD will own the graphics card area. AMD hasn't proven yet that they can produce a graphics card that people want to get. I work in a computer store and the majority of customers prefer nvidia cards over AMD-ATI ones.
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