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Monday, July 24, 2006

AMD buys ATI

From Arstechnica:

"At the beginning of the summer, an industry analyst made headlines by saying that an AMD acquisition of ATI was imminent. As is usually the case with such rumors that do not immediately come to pass, the story simmered down after a couple of weeks. It looks as though the deal may be on after all. Yesterday, the boards of AMD and ATI approved the deal whereby AMD would acquire the Canadian graphics card maker for $5.4 billion.

Not long after the news of the possible acquisition became public, Ars took a look at the technologies and finances involved in a marriage of the CPU and GPU makers. From AMD's perspective, the deal makes sense because it would address a weak spot in the company's lineup: the lack of a complete CPU and chipset solution like Intel has. It would also help AMD in the enthusiast market, as ATI's dual-card Crossfire setup is not supported on the new Intel 965 chipset."

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