AMD Buys ATI, Slashes Prices

Monday, July 24, 2006 by Zoomba | Discussion: WinCustomize News

After a week of rumors, AMD today announced that it has plans to purchase graphics card maker ATI and merge the two companies.  The value of the transaction is reported to be in the neighborhood of $5.4 billion (USD).  This marks a significant departure for AMD from its past business practices of focusing exclusively on building processors. 

In addition to the merger deal, AMD announced that it would be cutting prices on its current processor line by nearly 50% in reaction to the success of Intel's Core 2 Duo processor. 

AMD seems busy right now trying to keep pace with Intel and maybe carve out a new market for itself.

3 Reply 3 Referrals
speedy5662
Reply #1 Monday, July 24, 2006 1:51 PM
My biggest question is this; "Is AMD/ATI or the current latter of the 2, in the process of getting rid of the All-In-Wonder product line?" The reason I ask is that ATI still does not have 64 bit driver for the AIW products and none for Vista either, just the Catalyst drivers.
The reply I received from ATI was they had no plans for the AIW functions with 64 bit drivers. So I hope AMD can see fit to change that. Otherwise The company(ies) can both get F****d as far as myself and my partner and the computer building that we do!!

Speedy

Yarlen
Reply #2 Monday, July 24, 2006 4:45 PM
I read today that ATI is in fact eliminating the All-in-Wonder product line, but only in Europe according to the article. Still, you have to think that the rest of the world probably isn't far behind.

Lotherius
Reply #3 Monday, July 24, 2006 4:52 PM
I've been saying for over 6 months, that AMD was inflating the prices (not lowering as costs decreased) of their CPUs due to their speed dominance. And I'm right - the very moment Intel puts out a faster chip, AMD drops their prices nearly 50%... They couldn't do that if the prices weren't being inflated to begin with.

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