News
 

Bookmark and Share

(0) 

In a move to cut the operating costs down and generate additional revenues, Advanced Micro Devices, the world’s No.2 microprocessor maker, is reported to spin off its wafer testing and analysis laboratory in Austin, Texas into a fully-owned independent subsidiary called Cerium Laboratories.

Austin Business Journal reports that at the end of April Sunnyvale, California-based AMD is expected to announce a spin off for its Austin, Texas-based Process Characterization and Analysis Lab that tests all wafers and materials produced or used by AMD’s semiconductor fabs. The web-site quotes AMD’s senior materials specialist with the Austin, Texas, lab – Sankar Raman – as saying that new company would be a wholly owned subsidiary of AMD called Cerium Laboratories.

Another executive from the lab is reported to have said that the new subsidiary hoped to generate business outside the semiconductor industry, focusing on the medical device, automotive and steel sectors. The lab can reach out to those industries because it can analyze the chemical composition of a variety of products, not just wafers. Semiconductor companies are not likely to provide their own products for testing to a company that is owned by AMD – a potential rival.

Currently the lion’s share – 80% – of  AMD’s Austin, Texas-based Process Characterization and Analysis Lab work is done for AMD. It is not clear whether the ratio of the lab’s business conducted with AMD and other clients will change dramatically once the Cerium Laboratories becomes independent, however, the move will clearly cut AMD’s costs down a bit and may even bring some profits to the company.

Some previous experiences with spin offs resulted in AMD’s selling parts of its subsidiaries to other companies.

Discussion

Comments currently: 0

Add your Comment




Related news

Latest News

Thursday, November 6, 2014

6:48 am | LG’s Unique Ultra-Wide Curved 34” Display Finally Hits the Market. LG 34UC97 Available in the U.S. and the U.K.

Wednesday, October 8, 2014

8:52 pm | Lisa Su Appointed as New CEO of Advanced Micro Devices. Rory Read Steps Down, Lisa Su Becomes New CEO of AMD

Thursday, August 28, 2014

12:22 pm | AMD Has No Plans to Reconsider Recommended Prices of Radeon R9 Graphics Cards. AMD Will Not Lower Recommended Prices of Radeon R9 Graphics Solutions

Wednesday, August 27, 2014

9:09 pm | Samsung Begins to Produce 2.13GHz 64GB DDR4 Memory Modules. Samsung Uses TSV DRAMs for 64GB DDR4 RDIMMs

Tuesday, August 26, 2014

6:41 pm | AMD Quietly Reveals Third Iteration of GCN Architecture with Tonga GPU. AMD Unleashes Radeon R9 285 Graphics Cards, Tonga GPU, GCN 1.2 Architecture