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Several news reports during the weekend published by popular computer-related media in Russia citing own sources said that Advanced Micro Devices will sustain well-known trademarks of ATI Technologies, which is to be acquired by the chipmaker. The main news is that ATI brand-name will remain in the graphics business.

The reports said that all discrete graphics products will continue to be made under ATI name, just like chipsets compatible with Intel microprocessors. Consumer electronics products by ATI will be re-branded into AMD’s, however, their trademarks, such as Xilleon, will remain in place. ATI’s chipsets for AMD’s processors will also face re-branding into AMD, however, there is no information concerning the remaining of Xpress-series brand-names and product numbers.

Officials from ATI Technologies did not comment on the news-story, however, due to similarity of the published information, it may be considered as coming from either different sources, or from one reliable source.

Earlier this year representatives for AMD said that after the acquisition of ATI is completed, the combined firm will still be called AMD. In this case, it is particularly unclear what “ATI” brand would mean, as there would be no company called ATI.

Under the terms of the transaction, AMD will acquire all of the outstanding common shares of ATI for a combination of $4.2 billion in cash and 57 million shares of AMD common stock, based on the number of shares of ATI common stock outstanding on July 21, 2006. All outstanding options and RSUs of ATI will be assumed. Based upon the closing price of AMD common stock on July 21, 2006 of $18.26 a share, the consideration for each outstanding share of ATI common stock would be $20.47, comprised of $16.40 of cash and 0.2229 shares of AMD common stock.

Discussion

Comments currently: 2
Discussion started: 09/12/06 02:15:11 PM
Latest comment: 10/10/06 07:50:35 PM

[1-2]

1. 
"In this case, it is particularly unclear what “ATI” brand would mean, as there would be no company called ATI."

Why I would assume the graphics cards is still made by the same Canadian team that has made the cards earlier.. why not keep the brand, there are lots of bigger companies buying up smaller ones and keeping their brands.. just look at foods where there can be lots of brands that belongs to a mothercompany. You have no idea that you shop from the same company unless you take the time and read the fine prints..

Like Coca-Cola owns Mer, Bon-Aqua, Nestea, Powerade and probably lots of other brands.. A brand is recognised and has its value.
[Posted by: Silver  | Date: 09/12/06 02:23:44 PM]

2. 
They better keep the ATI brand name. Boy if they change that...
[Posted by: stickfire  | Date: 10/10/06 07:50:35 PM]

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