BloombergIntel in talks with AMD to license GPU patents

[csbin]

http://seekingalpha.com/news/3168017-bloomberg-intel-talks-amd-license-gpu-patents


Bloomberg reports Intel (NASDAQ:INTC) is in talks with AMD to license its smaller rival's GPU patents.

The report comes with Intel's cross-licensing deal with Nvidia (NASDAQ:NVDA) due to expire in Q1 2017. Nvidia has been recording $66M/quarter in licensing revenue related to the Intel deal, which allows Intel to use Nvidia's IP in the GPUs integrated with its CPUs.

AMD is up 6.1% after hours to $2.79. Nvidia is down 0.7% to $32.87.

 

[raghu78]

Its a positive news as any licensing revenue for AMD is useful as it tries to manage cash flow in the midst of huge losses. AMD's revival depends on Zen and Polaris. I am hoping both of them are very good.

 

[positivedoppler]

WTF news!?!?
Hell has frozen over.

 

[Gloomy]

Theres no reason to expect Intels GPU designs to change much from this right?

 

[thesmokingman]

Theres no reason to expect Intels GPU designs to change much from this right?

They can't use Nvidia IP in the future or they'll be in breach of patent law. Intel switching to AMD is quite some news. They could have renegotiated with Nvidia, but instead they are switching. That is huge.

 

[positivedoppler]

Skylake with Polaris, I like the sound of that.

 

[thesmokingman]

Skylake with Polaris, I like the sound of that.

Serious ownage for small form factor boxes.

 

[Jhatfie]

Very nice news. Wish I had the spare cash to have been able to pick up more than the 1800 shares I bought @ $1.88 a few weeks ago.

 

[postmortemIA]

They can't use Nvidia IP in the future or they'll be in breach of patent law. Intel switching to AMD is quite some news. They could have renegotiated with Nvidia, but instead they are switching. That is huge.

Not that huge, they don't see AMD as competition anymore (and haven't for a while). Probably Intel will get better deal with AMD than nVidia. AMD is getting desperate, while nVidia can live without the licensing deal. This would be similar to AMD getting both XBOX1 and PS4 graphics, while nVidia walked away.

 

[Azix]

Skylake with Polaris, I like the sound of that.

zen with polaris will do.

Nvidia and AMd should make intel pay out hugely for this. Because when intel is big enough in GPUs they won't be playing nice

 

[Arachnotronic]

Very nice news. Wish I had the spare cash to have been able to pick up more than the 1800 shares I bought @ $1.88 a few weeks ago.

Hey, so far your profits are good for a really shiny new PC

 

[thesmokingman]

Not that huge, they don't see AMD as competition anymore (and haven't for a while). Probably Intel will get better deal with AMD than nVidia. AMD is getting desperate, while nVidia can live without the licensing deal. This would be similar to AMD getting both XBOX1 and PS4 graphics, while nVidia walked away.

Right walked away... as in 66 million a quarter walked away, from the consoles schmonsoles, who needs em anyways right? I can rationalize too see?

 

[Silverforce11]

They can't use Nvidia IP in the future or they'll be in breach of patent law. Intel switching to AMD is quite some news. They could have renegotiated with Nvidia, but instead they are switching. That is huge.

AFAIK, Intel's GPU IP patent deal allows them to use existing patents in perpetuity. It only disallows them to use any new patents from the date the deal ends.

This is potentially dangerous for AMD because it could enable Intel to deliver a competitive threat for next-gen console APUs.

 

[thesmokingman]

AFAIK, Intel's GPU IP patent deal allows them to use existing patents in perpetuity. It only disallows them to use any new patents from the date the deal ends.

This is potentially dangerous for AMD because it could enable Intel to deliver a competitive threat for next-gen console APUs.

Do they want GCN then? This could be AMD's ticket to that merger...

 

[Silverforce11]

If I had to guess, it would be tech to better link the CPU to the GPU, like AMD's HSA technologies.

If it's just GPU IP, they could have stuck with NVIDIA.

 

[dark zero]

Ok, seems that Intel wants to buy AMD.... is all over again...

nVIDIA won't allow that.... they better have some decent CPU with godly GPU instead seeing Intel taking the decent GPU for themselves.


Also there is Apple... there will goes the only chance to become independant of Intel.

 

[Silverforce11]

Intel can't buy AMD, feds won't allow it as it would be a clear violation of monopoly laws.

And they don't need to buy, an IP agreement is cheap, chump change for Intel.

 

[Maverick177]

Ok, seems that Intel wants to buy AMD.... is all over again...

nVIDIA won't allow that.... they better have some decent CPU with godly GPU instead seeing Intel taking the decent GPU for themselves.


Also there is Apple... there will goes the only chance to become independant of Intel.

Last time I've heard, Intel showed interest in nVidia.

 

[thesmokingman]

Ok, seems that Intel wants to buy AMD.... is all over again...

nVIDIA won't allow that.... they better have some decent CPU with godly GPU instead seeing Intel taking the decent GPU for themselves.


Also there is Apple... there will goes the only chance to become independant of Intel.

No not that merger. Nvidia couldn't stop it, they have no x86 to fight with nevermind the alarm that would set off, monopoly.


HSA... that sounds plausible.

 

[Elixer]

This is potentially dangerous for AMD because it could enable Intel to deliver a competitive threat for next-gen console APUs.

This is what I thought of when I saw this thread, just think of a intel chip with HBM on board on their new nodes.
Would be a screamer.

AMD needs cash, and this would be one way to do it, but, it could also enable AMD to bargain perhaps some fab deals, or future tech.

Guess we will see how Lisa will play this.

 

[thesmokingman]

This is what I thought of when I saw this thread, just think of a intel chip with HBM on board on their new nodes.
Would be a screamer.

AMD needs cash, and this would be one way to do it, but, it could also enable AMD to bargain perhaps some fab deals, or future tech.

Guess we will see how Lisa will play this.

One of the things preventing them from merging with that investor sometime ago or Samsung was the change of name which would result in the lost of the x86 license. This could be ammo to protect that. AMD is a weakling with all the IP, its a strange situation to be in.

 

[Elixer]

Another thing, assuming intel does switch to AMD, wouldn't they have to redesign everything after the contract date?

That would mean they would have already started to do dual designs so they wouldn't lose any time during the actual switch.

 

[R0H1T]

If I had to guess, it would be tech to better link the CPU to the GPU, like AMD's HSA technologies.

If it's just GPU IP, they could have stuck with NVIDIA.

Nah I think Skylake already has it ~
www.cpu-world.com/news_2014/2014060901_Some_features_of_Skylake_graphics_architecture.html

Even CUDA enabled shared memory pool, for CPU & GPU, sometime ago & it'll be available for use with POWER9, from IBM.

AFAIK this is just a cross licensing deal, so that they don't get sued again by Nvidia, & they won't have any AMD specific trait in their GPU's for a while yet btw they'll likely offer peanuts to AMD for this D:

 

[postmortemIA]

Right walked away... as in 66 million a quarter walked away, from the consoles schmonsoles, who needs em anyways right? I can rationalize too see?

It's a lot of money, but it comes at a cost. Your major competitor saves on R&D, and you get less revenue as they (Intel) can make good-enough integrated cards.

I'm betting that Intel wants to pay even less, that's why this rumor works in their benefit to pressure nVidia to make even more favorable deal.

 

[3DVagabond]

Not that huge, they don't see AMD as competition anymore (and haven't for a while). Probably Intel will get better deal with AMD than nVidia. AMD is getting desperate, while nVidia can live without the licensing deal. This would be similar to AMD getting both XBOX1 and PS4 graphics, while nVidia walked away.

Yes, very similar. Now GCN will be in both consoles and Intel iGPU's, as well as AMD APU's and discrete graphics. If you think that having GCN in the consoles is helping with games being optimized for AMD just imagine what this will do.

It's a lot of money, but it comes at a cost. Your major competitor saves on R&D, and you get less revenue as they (Intel) can make good-enough integrated cards.

I'm betting that Intel wants to pay even less, that's why this rumor works in their benefit to pressure nVidia to make even more favorable deal.

Why would they want nVidia's IP over AMD's?