Samsung To Allegedly Acquire AMD To Compete With Intel And Qualcomm Head On
wccftech of course.
A fresh report from South Korea has just surfaced with claims that Samsung will allegedly attempt an AMD buyout to compete with Intel. The report claims that the Korean giant will attempt to acquire AMD and merge it with one of its subsidiaries. Note, thanks Serge for the tip !
Samsung AMD mergerAccording to the report Samsung’s aim is to secure both CPU and GPU IP from AMD. Then use the IP to fuel future growth opportunities as well as put itself in a more favorable position to compete against its equally large rival Intel and its smaller but still very successful mobile rival Qualcomm.
Samsung’s Acquisition of AMD Will Fuel Growth And Allow It To Compete Directly With Intel
The report claims that this isn’t the first time that Samsung has shown interest in acquiring AMD. Back in 2007 Samsung’s head of telecommunications stated
it is necessary to consider the AMD acquisition in order to secure a new growth engine
An immediate question comes up with regards to the cross-licensing agreement with Intel, by which Intel grants AMD the x86 license and AMD grants Intel the x86 64bit license, i.e. AMD64. Will a Samsung/AMD acquisition violate the cross-licensing agreement ? In a recent conference AMD’s CFO Devinder Kumar addressed the cross-licensing concerns of a previous buyout rumor. The one involving the Chinese company BLX IC. Kumar pointed out to when AMD spun off its fabs as Globablfoundries back in 2008. Similar concerns arose and Intel attempted to spoil the deal on the grounds that it violates the cross-licensing agreement but AMD quickly won the legal battle in court because no violation had actually occurred. And as if that wasn’t enough Intel had to pay AMD a 1.25 billion dollar fine. Simply put an acquisition deal can be structured so that it does not incur any violation on the standing cross-licensing deal with Intel.
Samsung and Intel have been duking it out on multiple fronts. The hyper competitive mobile market and semiconductor manufacturing capability are both prime examples of this fierce competition. However Intel’s recent contra-revenue fueled obsession to penetrate the smartphone and tablet market meant that everyone involved was actually making less money. Because Intel was subsidizing its Atom sales which meant that its competitors had to take a hit on their profit margins to stay competitive.
wccftech of course.
A fresh report from South Korea has just surfaced with claims that Samsung will allegedly attempt an AMD buyout to compete with Intel. The report claims that the Korean giant will attempt to acquire AMD and merge it with one of its subsidiaries. Note, thanks Serge for the tip !
Samsung AMD mergerAccording to the report Samsung’s aim is to secure both CPU and GPU IP from AMD. Then use the IP to fuel future growth opportunities as well as put itself in a more favorable position to compete against its equally large rival Intel and its smaller but still very successful mobile rival Qualcomm.
Samsung’s Acquisition of AMD Will Fuel Growth And Allow It To Compete Directly With Intel
The report claims that this isn’t the first time that Samsung has shown interest in acquiring AMD. Back in 2007 Samsung’s head of telecommunications stated
it is necessary to consider the AMD acquisition in order to secure a new growth engine
An immediate question comes up with regards to the cross-licensing agreement with Intel, by which Intel grants AMD the x86 license and AMD grants Intel the x86 64bit license, i.e. AMD64. Will a Samsung/AMD acquisition violate the cross-licensing agreement ? In a recent conference AMD’s CFO Devinder Kumar addressed the cross-licensing concerns of a previous buyout rumor. The one involving the Chinese company BLX IC. Kumar pointed out to when AMD spun off its fabs as Globablfoundries back in 2008. Similar concerns arose and Intel attempted to spoil the deal on the grounds that it violates the cross-licensing agreement but AMD quickly won the legal battle in court because no violation had actually occurred. And as if that wasn’t enough Intel had to pay AMD a 1.25 billion dollar fine. Simply put an acquisition deal can be structured so that it does not incur any violation on the standing cross-licensing deal with Intel.
Samsung and Intel have been duking it out on multiple fronts. The hyper competitive mobile market and semiconductor manufacturing capability are both prime examples of this fierce competition. However Intel’s recent contra-revenue fueled obsession to penetrate the smartphone and tablet market meant that everyone involved was actually making less money. Because Intel was subsidizing its Atom sales which meant that its competitors had to take a hit on their profit margins to stay competitive.
Buyout rumors yet again: AMD
0 commentaires:
Enregistrer un commentaire