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AMD buys ATI
Topic Started: Jul 24 2006, 08:45 PM (207 Views)
Zybch
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I wonder what this will mean in the medium to long term.

Posted Image Posted Image

For the short term anyway (next 18 months) it means that AMD will finally be able to get their chipsets looking as good as the nVidia ones.

Also, THIS JUST IN:

There is a lot of news surrounding ATI at the moment, especially with the AMD buy out confirmed earlier today. Intel has pulled ATI's chipset license, meaning that there will be no more ATI (or rather, AMD) chipsets for Intel processors after the end of the year.

Someone seems to be a bad loser!
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Johnny Fist
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It also explains why their stock prices have been sinking.
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Zybch
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No, that would be the effect the Intel conroe (Core 2) processor is having, as its beating (okay, whipping) the top AMD processor (FX62) in most benchmarks and costs a lot less. Even with the 47% price drop on all AMD chips the FX62 is still not that attractive compared to the Core 2 Duo from Intel.

ATIs stock has been steadily climbing with rumours of the merger during the last 2 months.
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Johnny Fist
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I didn't realize you were involved with the market, Zybch. It doesn't matter though because you're still wrong. Usually when there is a buyout on the horizon, especially a large one, stock prices plummet for the buying company because it's profits will be spent on another company instead of the shareholders. The company being bought will see an increase in value because shareholders are usually compensated by the buying company above and beyond the current market value. Seagate's buyout of Maxtor was a more recent example. I'm half tempted to go short on AMD, but with all the hoopla today I think I'm going to hold off until later this week before I move any money around. I'be been burnt following trends like this before. The last one was pretty rough. I don't want to do it again.
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Zybch
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The first hints of the core2 benchmarks (even though the NDA prevented specifics) saw AMDs stock fall even before the ATI merger was being debated publicly.
Its been a rumour for the past 5 years that AMD would do something with a good chipset maker like ATI or Nvidia as their own chipsets suck and they really need to get into the integrated graphics market like intel has with its totally shitty Extreme video-in-chipset thing.

Frankly, AMD had to do something to remain compeditive with Intel, whether this is a good or a bad move on their part we won't know for some time, say 18 months from now.
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Johnny Fist
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I hate to break the news to you, but benchmark scores don't move the stock market, buddy.
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Zybch
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Never said they do, however at least in this occurancen they made a LOT of people very jumpy to see how good Intel's new chips were and at a price AMD wasn't able to touch.
Why would you want to hold onto stocks in a company that makes a $1400 processor that is easily outclassed by a $500 chip from a rival??
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cheeseman
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:unsure: does this mena they are going to suck
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Johnny Fist
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Is who going to suck? I've always prefered Nvidia to ATI, but I think thats just because I like green better than red.
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Zybch
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Well now you can get both since AMD's logo is green, and ATI's is red.
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Johnny Fist
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Its like a Christmas present! Thank you Baby Jesus!!!
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Zybch
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Hes a zombie, not a baby!
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Johnny Fist
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Pipe down.
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Zybch
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"That reminds me of how much I hate babies.
Why does everyone want to save them?
There are too many babies.
I'm not saying we should kill them, but if you happen to be giving your baby a bath and the phone rings.. well, nobody will judge you.
Besides, you might get free brownies out of it at the funeral, and brownies rule."
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cheeseman
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Johnny Fist
Jul 29 2006, 11:43 AM
Is who going to suck? I've always prefered Nvidia to ATI, but I think thats just because I like green better than red.

i like ATI and Nividia :sun:
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