If. What does this do to Mubadala position?
Puts them in slightly secondary position but effectively muzzles them. Here's why.
The BoD is probably at semi panic stage now, worrying about their reputation. They probably don't care about anything else.
The company needs money (which Mubadala has) but it also needs to be turned around (which Mubadala is clueless). Whereas private equity does both - that's what they do.
Obviously the target is spinning off ATI (which I said should happen 4 years ago) the Radeon reorg could not be more clear on this. Which makes perfect sense - at some point that spin off will have a market cap of $5B+.
You can bet the investors are negotiating hard, which in the end the BoD will give them almost whatever they want (though the spin will be congratulating the BoD on a great deal).
A lot of winners from this esp. GPU employees. The big loser will be Nvidia. x86 will probably see some major cuts as well.