AMD Announces Pricing of Private Offering of $500 Million of Senior Notes

[Genx87]

They already owned mobile graphics technology, Imageon, which they sold to Qualcomm. That could have been incorporated in x86 CPUs if they wanted to. http://www.informationweek.com/desktop/qualcomm-buys-amds-mobile-graphics-division/d/d-id/1075767

One within a list of terribad decisions by AMD in the last decade.
And they sold it for such a pitiful amount of money as well.

 

[Daedalus685]

One within a list of terribad decisions by AMD in the last decade.
And they sold it for such a pitiful amount of money as well.

It sure is kind of sad. They go pay an absurd amount of cash for ATI then go and sell one of the most valuable parts of that acquisition for a song... Hindsight I suppose though, lots of other companies didn't foresee the huge upswing in handheld.

 

[Roland00Address]

That ship sailed when BK took Intel helm. BK moved Atom to a bleeding edge node and started low-cost/high volume projects like Quark and SoFIA.

Maybe this is my crappy childhood speaking but

1) Words are one thing
2) Action are another
3) But Delivery in the end is what matters

So far we been seeing Intel gives the words of going all in with atom and the internet of things being a major focus, they actually may be moving to action to do that, but Intel definitely has not delivered on the promise they are preaching.

I have no doubt that Intel is capable of doing what they are preaching, lets see if they actually do so. I have heard many siren songs about Intel only to not see Intel deliver remember Intel was going to.

1) Make atom everything in 2008 to 2010. So much Intel ported Atom over to TSMC for they thought they were going to be supply constrained. They were promising untold performance with these big phones. See here
http://www.anandtech.com/show/3696/...600-series-the-fastest-smartphone-processor/3
2) Intel cell phones in the wild with 45nm, were also supposed to be in the wild with 32nm but were pretty non existent beside the moto i and some niche markets, we still have not seen 22nm atom phones / android tablets even though that was supposed to be q1.
3) Larrabee video cards
4) Intel TV
5) Intel SSDs ruling the market, now Intel makes some nice ssds but they are nowhere king of marketshare.

And this is an Intel that has been very competitive, it been so competitive that if they don't see the margins they will kill the project for they understand that even Intel has limits and they are competing against a 100 different companies. If Intel does not believe it can dominate the market they will bow out and pursue something where they know they can dominate the market and make very nice margins.

And suddenly intel is supposed to change their style and strategy? I understand their logic use the foundry to be better than everyone and cheaper to manufacture than everyone, sell so much volume that you make more profit than ever before. What happens though when the other companies say they are not going down without a fight for if intel dream succeeds many companies will go bankrupt.

 

[mrmt]

So far we been seeing Intel gives the words of going all in with atom and the internet of things being a major focus, they actually may be moving to action to do that, but Intel definitely has not delivered on the promise they are preaching.

You shouldn't mix SSDs, Larabee and pre-22nm atoms with what Intel is planning now. Those actions were to open up markets in case of SSD or half-hearted attempts to develop new ones, like Larabee or Atom, but this is different. The very core of Intel business model will fail if they don't develop a sound and profitable mobile business.

Intel is committed to this strategy, and is spending money and other resources in making it work, but the strategic decision has been take and is being executed as we speak now. Whether they can be successful in this strategy, this is for the future to tell us;

 

[Roland00Address]

It sure is kind of sad. They go pay an absurd amount of cash for ATI then go and sell one of the most valuable parts of that acquisition for a song... Hindsight I suppose though, lots of other companies didn't foresee the huge upswing in handheld.

AMD was in tough times, and the economy thought it was dying back then and they needed the cash flow (2008 was the year of the stock market disaster in Sept/Oct). Yes it was stupid in hindsight but you have to understand the feelings AMD was feeling back then.

 

[Roland00Address]

You shouldn't mix SSDs, Larabee and pre-22nm atoms with what Intel is planning now. Those actions were to open up markets in case of SSD or half-hearted attempts to develop new ones, like Larabee or Atom, but this is different. The very core of Intel business model will fail if they don't develop a sound and profitable mobile business.

Intel is committed to this strategy, and is spending money and other resources in making it work, but the strategic decision has been take and is being executed as we speak now. Whether they can be successful in this strategy, this is for the future to tell us;

I am not disagreeing with anything you said. But Intel may blink, they are betting a lot of money that this strategy works and the pressure is on, and sometimes people blink when the pressure is on.

Like I said earlier is Intel really going all in on the internet of things and being the world's only big foundry? (all in being a poker analogy) It is high risk/high reward.

 

[mrmt]

I am not disagreeing with anything you said. But Intel may blink, they are betting a lot of money that this strategy works and the pressure is on, and sometimes people blink when the pressure is on.

Intel cannot blink. If they blink, their business model is done for. That said, not blinking is not enough to be successful, and this is what Intel has to show us, that they can deliver sucessful mobile produts and keep their business model.

 

[Roland00Address]

Intel cannot blink. If they blink, their business model is done for. That said, not blinking is not enough to be successful, and this is what Intel has to show us, that they can deliver sucessful mobile produts and keep their business model.

We are now arguing semantics and I think we are in agreement. Intel I do not see going bankrupt at least in the next 10 maybe even 20 years. It is very possible, maybe even likely they will no longer be as dominant as they used to be, but they have accrued so many resources and they have enough of a head start I see them still being a player.

The world will always need electronics and Intel has foundries, sure they may not be the foundry king but business will get done. For their have resources that only make money if they are used, and eventually intel will produce someone's chip even if they aren't happy with the margins. Worse case scenario in my mind is Intel going the IBM route, sure it is not the goliath it used to be, but they are not doing that bad they still made 16 billion dollars last year after all, and when a company can say that you can't really say IBM is doing really really bad.

 

[AtenRa]

Advanced Micro Devices' (AMD) Presents at Bank of America Merrill Lynch Global Technology Conference (Transcript)

 

[Lonyo]

They also extended the length of the loan, which results in paying more for the loan.

Depends on whether there's any additional cost for early repayment.