Former AMD employees claim it wanted to buy Nvidia not ATI

AMD logoAMD wanted to cut a deal with Nvidia before settling for buying ATI instead, according to former AMD employees.

AMD completed a deal to buy ATI for $5.4bn in 2006, but only after it couldn't agree on terms with Nvidia, according to former AMD employees interviewed by Forbes. One of the stumbling blocks to the deal was Nvidia's colourful CEO Jen-Hsun Huang wanting to become the CEO of the combined company, effectively ousting then AMD CEO Hector Ruiz.

AMD's purchase of ATI didn't go smoothly, and while the fabled Fusion accelerator processing units are now available, the technology was expected to tip up years ago. And while AMD's discrete graphics card business has been releasing competitive products, the CPU operation has left a lot to be desired, with last year's Llano chips failing to set the world on fire.

Ruiz stepped down from the AMD CEO role within two years of the deal and left the firm completely a year later, with AMD posting losses amounting to billions during his tenure. While this was happening, Nvidia and Huang have cleverly repositioned the firm to take on Qualcomm and Texas Instruments in the system-on-chip (SoC) market.

Nvidia's Tegra SoC had its breakthrough last year in a number of smartphones and tablets, however 2012 is expected to see Nvidia's biggest push against the SoC stalwarts with Tegra 3. The five-core Tegra 3 chip will appear in a number of smartphones and tablets at next week's Mobile World Congress, and AMD has yet to see a design win in those mobile markets.

AMD's decision to settle for ATI was not necessarily a bad one in terms of technology and intellectual property transfer, but its execution of that acquisition clearly was rather poor.

Source: Ars Technica


Add comment

Your name:
Sign in with:
Your comment:

Enter code:

E-mail (not required)
E-mail will not be disclosed to the third party

Last news

GTX 1050 should hit 60FPS @ 1080p with no external power required
Samsung might be planning to ditch its smartphone strategy
Qualcomm also reveals three new midrange Snapdragon processors
Next-year's iPhone could represent a complete overhaul
New MacBook Pros and Airs expected, 11-inch Air could be retired
The iPhone 7 family of phones is selling better than that of the iPhone 6s
Intel reported a 9.1% rise in quarterly revenue
A mobile hotspot in Australia will be capable of hitting gigabit speeds on the go
Samsung Galaxy TabPro S - a tablet with the Windows-keyboard
The first Windows-tablet with the 12-inch display Super AMOLED
June 7, 2016 /
Keyboards for iOS
Ten iOS keyboards review
July 18, 2015 /
Samsung E1200 Mobile Phone Review
A cheap phone with a good screen
March 8, 2015 / 4
Creative Sound Blaster Z sound card review
Good sound for those who are not satisfied with the onboard solution
September 25, 2014 / 2
Samsung Galaxy Gear: Smartwatch at High Price
The first smartwatch from Samsung - almost a smartphone with a small body
December 19, 2013 /
HP Slate 7 is a 7-inch Android 4 Tablet PC with good sound
A cost-effective, 7-inch tablet PC from a renowned manufacturer
October 25, 2013 / 4

News Archive



Do you use microSD card with your phone?
or leave your own version in comments