Confirmed: AMD To Acquire ATI for 5.4 billion USD
Date: Monday, July 24 @ 21:51:11 UTC
Topic: Off Topic
Officials from computer processor manufacturer Advanced Micro Devices (AMD) have confirmed rumors that the company will acquire graphics chip maker ATI Technologies in a cash and stock deal worth $5.4 billion.
The company indicated that the acquisition had been made in order to increase its presence in the commercial and mobile computing segments, as well as the consumer electronics market. The company now plans to market "customer-centric platforms" in 2007 using integrated technologies from both companies.
Although rumored since May of this year analysts had questioned the financial and strategic wisdom of AMD acquiring ATI outright. Additionally, the move could have important repercussions for the games industry, with the question of continued ATI support for Intel chipsets currently unclear. The ramifications for ATI rival NVidia's support for AMD chipsets is also now in question. The acquisition though is not expected to have any effect on the use of ATI technology in the Xbox 360 and Wii - both of which use IBM PowerPC processors.
News-Source: www.gamasutra.com
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