Samsung Plans To Buy AMD To Compete With Intel [REPORT]

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Samsung Plans To Buy AMD To Compete With Intel [REPORT]
By The original uploader was VD64992 at English Wikipedia [Public domain], via Wikimedia Commons

Intel is already struggling to make a mark in the mobile chip segment, and the latest reports could make the struggle much harder for the chip maker. Samsung is reported to be planning to acquire AMD to compete against companies such as Qualcomm and Intel.

How Samsung could exploit AMD’s potential

According to South Korean media reports, Samsung is interested in AMD’s CPU and GPU properties and using AMD’s IP to ramp up its growth and stand against companies such as Intel and Qualcomm. If the story holds true, then there will be some great products coming from it. The Korean company could launch Radeon IP in its mobile offerings to boost its performance.

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The acquisition of AMD would not just bolster the position of Samsung in the patent battle but also help the company stand stronger in the face of competition considering the strong product pipeline of the chip maker. AMD has a slew of releases, such as its high-performance x86 Zen’CPU’s, 64bit ARM K12? Core and the upcoming Arctic Islands graphics architecture.

Another area in which the company could use AMD technology is for enhancing its fabrication by shifting technology into smaller processes which could be better than what TSMC offers AMD at the moment.

Better placed among rivals such as Intel, NVIDIA

Samsung and Intel have crossed paths in the past, with Intel trying to expand into the mobile market by subsidizing Atom sales, thus forcing competitors to bring down their prices to stay competitive. Samsung’s acquisition of AMD’s CPU and GPU IP could earn Samsung a very strong position in the market and also in the courts.

Samsung could also make some changes in the GPU arena and compete against NVIDIA. The major graphic contributor of AMD is ATi, a company that was set up almost eight years before NVIDIA was started. The acquisition would grant Samsung an extra eight years in the patents battle with NVIDIA.

Further, the reports mention that Samsung has been eyeing AMD since 2007, the same year Samsung’s head of telecommunications reportedly said, “It is necessary to consider the AMD acquisition in order to secure a new growth engine.”

It is a big development, and if it materializes, it will be a big success for the Korean company.

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28 COMMENTS

  1. This is correct. Intel was forced to license their tech to AMD by IBM in order for IBM to “trust” in using Intel’s processors way back in the day and this license is non-transferable. The moment AMD gets bought out will be a day of celebration for Intel.

  2. 14nm AMD might become a major threat to intel (Nintendo will have to choose Nvidia for NX), and ATI might provide just the thing against Tegra’s gaming power

  3. Goodbye x86. Intel has been unable to explain why a mobile processor would need an instruction set backwards compatible with the original IBM PC. AMD would have been bought years ago but their deal with Intel prevented the x86 license from being transferred. Samsung has no need for x86 and so the purchase is attractive.

  4. I think someone MUST HOLD a lot of SHARE from AMD and now want to dump them so this ARTICLE may help to sell higher since people jump in to buy AMD. Unless, either SAMSUNG or AMD comes-out with the NEWS; other than that, it is a “READ for FUN” or a DREAMING article.

  5. Does the author know that no deal can go through without Intels’ nod ?

    AMD has a licensing agreement with Intel that no on other than AMD and intel can manufacture X86. Why would Intel allow Samsung to buy AMD ?

  6. If I am not mistaken, the takeover rumors of AMD happen every time the share price drops to 3 and under. Jerry Sanders, the founder of AMD swore he would rather die than sell his company and that includes AFTER his death..ha ha . Jerry and his family are very proud of the fact that they have thrived despite Intel’s illegal,strong arm tactics and market manipulation in the chip sector and have done so by designing great chips not copying them as so many people erroneously believe. …I say no sale will happen …EVER.

  7. Intel don’t really have much to worry about. amd don’t really compete with them any more and I doubt this will change anything. amd’s buying of ati didn’t help them so y would this.