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As media tablets and smartphones are on-track to outsell personal computers in the coming years, the significance of x86 processors, exclusively designed and made by Advanced Micro Devices and Intel Corp., is getting lower. As a result, long-rumoured Intel’s wish to buyout its only rival is getting more realistic, according to a source in the financial community. Due to the renewed acquisition rumour and AMD’s gains in consoles and low-power computers, stock of the company is growing.

According to a source of the Tech Trader Daily blog who could not be quoted by name, the persistent rumor that Intel will buy AMD, might suddenly be thinkable since the field of computing is now being defined more broadly than just the personal computer and the x86 micro-architecture, which means there are no more as many anti-trust issues as before. It may be unlikely that Intel and AMD are interested in consolidation just now, but as the share of devices based on ARM architecture is increasing, so are the chances that Intel and AMD could merge.

“Although the rumor is not a new one, it is in circulation again today,” the source is quoted as saying.

Both AMD and Intel have seen moderate success in media tablets and smartphones because of various reasons. As a result, sales of the two semiconductor designers are either stagnating or even decreasing these days.

The two companies have a number of unique advantages, which, if combined, could improve positions of the newly formed company. For example, AMD has unique graphics processing and heterogeneous processing intellectual property, whereas Intel has leading-edge manufacturing capacities and the world’s best manufacturing technologies.

Recently AMD scored huge wins as it has been chosen as the only supplier of custom system-on-chips for Microsoft Xbox Infinity (Xbox Next console code-named Durango) as well as Sony PlayStation 4 (code-named Orbis) video game consoles due later this year.

AMD’s stock was up 14.18% to $3.22 on May 1.

AMD and Intel did not comment on the news-story.

Tags: AMD, Intel, Business, Sony, Playstation, Xbox, Durango, Microsoft, Fusion, ATI, Radeon, GPGPU, x86, ARM


Comments currently: 27
Discussion started: 05/01/13 10:57:34 PM
Latest comment: 05/05/13 06:15:37 PM
Expand all threads | Collapse all threads


Some here would obviously commit harakiri if this were to pass.
4 0 [Posted by: bluvg  | Date: 05/01/13 10:57:34 PM]

AMD might not be giant, but something tells me they are not looking to sell anytime.

Who are you going to leave to x86 innovation anyways? VIA?
4 1 [Posted by: etcitadel  | Date: 05/01/13 11:01:20 PM]
- collapse thread


• VIA Technologies/Centaur Technology will be this year introducing its new "Isaiah II" CN-R microarchitecture that will power the company’s next-generation native and monolithic (single-die) VIA QuadCore CN-R processor with 2MB L3 cache, SIMD up to AVX2 and designed for TSMC's 28nm lithography.

• On ARM platform has VIA WonderMedia PRIZM Platform as WM8980 SoC. (up to a 1.4Ghz WM8980 ARM Cortex- A9 Dual-Core processor + ARM Mali-400 Dual-Processor GPU)
0 0 [Posted by: Tralalak  | Date: 05/02/13 04:52:35 AM]

This would be very bad for the market and for the customers. And I think regulatory bodies in USA and EU will not allow it to happen.
13 1 [Posted by: ano69  | Date: 05/01/13 11:44:57 PM]
- collapse thread

Like the useless regulatory bodies (paid by us, but representing the corporate interests) stopped WD and Segate from buying out all the competition and forming a global HDD duopoly? Really ?

I would never trust there regulatory bodies that use our money, but never care about our interests.

Now we have HDDs that cost double and have half the warranty period.
6 0 [Posted by: East17  | Date: 05/02/13 07:51:23 AM]
the cost and waaranty was more to do with impact of Thailand floods. Factories needed to be rebuilt and supply into the market was short ofr a period. Prices have come down considerably and their is great competition comng through from the SSD market these days.
0 2 [Posted by: Dave Hartnell  | Date: 05/02/13 05:34:11 PM]

show the post
2 8 [Posted by: AnonymousGuy  | Date: 05/02/13 12:10:25 AM]

More FUD

It will never happen, and if intel/AMD ever wanted to merge I'm sure any deal would be blocked by govt

A merger would be disastrous for innovation and free trade
4 0 [Posted by: alpha0ne  | Date: 05/02/13 12:24:46 AM]

Intel wishes to have Rory Read lead the company as well.
4 2 [Posted by: linuxlowdown  | Date: 05/02/13 01:26:18 AM]

The only reason for such a merger, and the only point at which it would be sanctioned by regulatory bodies, is if ARM based processor designs become definitely proven to be superior, i.e. more scalable AND better performance/power ratio, than x86. At that point ARM designs will presumably move to dominate all segments of the market and x86 becomes irrelevant. So, if x86 is irrelevant why would Intel be interested in AMD?. More likely, both would continue independently as ARM licensees.

All that said, I wouldn't hold my breath waiting for ARM to completely dislodge x86 - not unless you can hold your breath for 5+ or more likely 10+ years. As to whether ARM is or, is not, superior to x86, I do not know, and only time will tell.
4 0 [Posted by: mjv1121  | Date: 05/02/13 01:51:29 AM]

Yeah, it´s not so much x86 disappearing(not in the next 10 years at least), as the market for "computers" greatly widening to include more hardware.

Just like the media industry in the last decade or has found itself competing with more types of media.
At the same time, x86 is taking over some areas which were previously held by more specialist chips, so i doubt it will be terribly big drop for x86.

And i doubt that anti-monopoly law enforcement will consider OTHER market segments to be good enough competition to x86, rather than look within x86.

And also, AMD may not be doing great at the moment in CPUs, but as mentioned, they ARE doing great in some parts, like getting console design wins and selling excellent gfx cards while their APUs are fairly popular. So, it´s not like they don´t have enough advantages to stay alive.
0 0 [Posted by: DIREWOLF75  | Date: 05/02/13 04:05:23 AM]

it will not be any reason of cheer for consumers.

Also I dont think IBM, TSMC, Globalfoundries especially will allow to be taken their important partner.

For Glofo will be almost an big fail without AMD customer
0 0 [Posted by: tbaracu  | Date: 05/02/13 04:39:36 AM]

Rumors lol it reminds me of that allstate commercial where that lady says it has to be true if it's written on the internet. Anyone remember the rumors 6 months back that intel was going to buy Nvidia and Nvidia's current CEO was going to lead the new company? Problem is anyone can start a rumor with no substance behind it and make it sound true. AMD is getting back on track they reduced their size they just scored big with Sony and Microsoft their stock is up etc.. so everything is looking up for AMD now if this article would have came out a year and a half ago it would have sounded more believeable, but since AMD is on the up it makes no sense.
1 2 [Posted by: SteelCity1981  | Date: 05/02/13 04:50:05 AM]

Wow...that mean Radeon HD 9000 at 14nm vs Geforce GTX800 at 20nm ??
6 0 [Posted by: tks  | Date: 05/02/13 05:45:28 AM]
- collapse thread

Not only that but on time, good yields, high clocks, good power management...
0 1 [Posted by: loadwick  | Date: 05/04/13 12:16:30 AM]

For 40+ years people have been writing the obituary for AMD and AMD still keeps moving forward delivering excellent products and actually making money now and then. As long as they continue to offer good products to the masses, they will stay in business. Intel couldn't buy AMD if they wanted to.
5 2 [Posted by: beenthere  | Date: 05/02/13 05:58:25 AM]
- collapse thread

+1 I think Amds future is looking very bright at present. Their APU, GPU and Console business is finally giving it a good base to grow from.

Id be very unhappy to see Intel buy out AMD. THey have the cash to do it but I still dont see the regulatory bodies sanctioning it even with the rise of ARM.
3 1 [Posted by: Dave Hartnell  | Date: 05/02/13 05:30:26 PM]

In 1984 AMD was the only "innard Engineer and peripheral provider" recognised in the book "The Computer Entrepreneurs" published that same year. Intel was not even mentioned in the book since its main focus was on memory.

This situation continued until 1987 when Intel was forced to exit that business, due to competition from Asia (as detailed in "Only the Paranoid survive) and began concentrating on IBM PC hardware instead.
4 1 [Posted by: Colinhu  | Date: 05/02/13 06:23:03 AM]

if this happens it would make for some exciting news stories that's for sure.. think about all the AMD, intel flame threads.. it would bring them all together and end the forum fanboy wars lol
1 1 [Posted by: vid_ghost  | Date: 05/02/13 05:45:08 PM]

The Justice department and antitrust laws would prevent Intel from ever getting its hands on AMD, first and foremost is the x86 market, there are only two players in this market, Intel and AMD, Intel with the high performence and high cost/margin x86 CPUs, and AMD with The lower performence lower cost/margin x86 CPUs! the only thing keeping Intel from a total monopoly, is AMD, and Intel will not be allowed to buy AMD! There are two big players in the discrete GPU market, AMD and Nvidia, and in the integrated GPU market AMD and Intel for x86 integrated GPUs, and Nvidia for ARM integrated GPUs as well as others for ARM/integrated GPUs! Again AMD -vs- Intel for the x86 integrated GPU market, and the justice department and the courts would never allow one of the main players in this market to buy the only other player in the x86 integrated GPU market!
Intel ever buying AMD is a pipe dream, forget about it ever happening!
1 0 [Posted by: BigChiefRunAmok  | Date: 05/02/13 06:59:34 PM]

The writer has ridiculous conclusions. First of all AMD has not "Seen moderate success in media tablets and smartphones", as you claim. They have no smartphone wins, and I don't believe I've seen even 1 tablet win. With their chip designs being 1 to 2 generations behind intel, the microprocessor side losing money hand over fist, and ATI being the only money generator for the company, it would be stupid IMO for intel to buy AMD, and contrary to what some AMD fanboys might believe, intel is not stupid.
3 5 [Posted by: Tom Hoey  | Date: 05/03/13 12:49:16 AM]

Not going to happen. This is called stock market manipulation where rumors drive the stock price up and the fat cats cash in their shares and the stock price drops back down. The suckers get fleeced by these gimmicks all the time.

As far as AMD's success they are in fact doing much better and have a lot of good products coming to market with Richland, Steamroller, new GPU cards, etc. They also won the Xbox, PS and Wii contracts and that is worth sales of an estimated 5 million APUs. They have also secured tablet contracts and have many new revenue streams to grow their Biz as they ignor Intel and do what's best for consumers and AMD.
2 2 [Posted by: beenthere  | Date: 05/03/13 06:55:17 AM]

Intel will buy AMD just like Coca-Cola will buy Pepsi.
1 0 [Posted by: TAViX  | Date: 05/03/13 05:45:31 PM]

AMD has taken years to finish designing the HCA and hUMA, which is coming out this year. Intel has been fighting with AMD early and incomplete prototypes from AMD.

This and next year, AMD will be releasing their true fully functional chips using their new CPU/Unified architecture. Intel does not have anything like this, and these chips will impact at all levels. Even Intel's chip foundry advantage will disappear since the unified memory architecture consumes a lot less power, and when AMD uses GlobalFoundries/TSMC 18 nm chips, then Intel will not be able to compete at low profit margins levels.

Not to mention that the incoming AMDs 64-bit ARM designs will kick butt in workstations, servers, tablets, laptops, etc.

AMD at toay's prices is the best investment that anybody can make. It will explode back to it's original price and then it will have a second profit run when it gets all it's high performance 64 bit ARM processors. If there is any company that can design real high processing hybrid processors, it is AMD and they have finally successfully achieved it.

Not Intel, ARM, NVIDIA, or any other company would have been able to pull what AMD just did. And now, AMD will benefit from it's incredible IP portafolio and achieved products.

Intel has to buy AMD because it cannot afford the AMD's hybrid processor being applied to the ARM architecture. The x86 can't match the clean slate design of the ARM design, and if Intel chooses to fix the x86 design, then all the former x86 software will not be compatible any more and people will flock Intel's x86 cpu's. AMD does not care because it will profit from both ARM and x86 designs. Best position that any company can be in, and AMD is the only current company with both ARM and x86 advanced designs.
0 0 [Posted by: scoob  | Date: 05/05/13 06:15:37 PM]


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