Sinatech: ATI/AMD Aquisition Agreement Reached: ATI facing a big shake-up

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Fox5 said:
Wow, so would this be a buy or a sell on AMD stock? Wouldn't information of this magnitude practically be illegal to let out ahead of the official announcement?
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It's only illegal if it was based on insider information. There is a lot of public information available to analysts and other interested parties that could point to something like this without official word getting out.
 
Fox5 said:
Wow, so would this be a buy or a sell on AMD stock? Wouldn't information of this magnitude practically be illegal to let out ahead of the official announcement?
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I was thinking the same.
If all these rumours turned out to be an "artificial stock inflating move", then an SEC investigation would be practically a given.
After a takeover, the stocks go down pretty fast, especially on the buyer's side.
 
A chipset JV would be interesting, if both sides poured their all into it. Might even have a long term effect of increasing inter-operability on the multi-gpu side of the house. NV could find themselves out in the cold if they didn't play ball. In the short run I wouldn't see that bothering them, but in the longer run it could start to have an impact.
 
It would be interesting if the first chipsets of a JV were on AMD's 65nm, this winter. Ultra low power, a big step increase in margins (in a sector of the market with low margins), a complete range from ultra low-end, mobile to IGP and CrossFire.

Jawed
 
Wouldn't break the bank anywhere to accomplish, and would get those low margins out of ATI's balance sheet.

Yeah, I could see that.

Dear SEC-- I know nothing, btw, just playing with possibilities. :smile:
 
geo said:
Wouldn't break the bank anywhere to accomplish, and would get those low margins out of ATI's balance sheet.

Yeah, I could see that.

Dear SEC-- I know nothing, btw, just playing with possibilities. :smile:
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contingency of merger between ATI and AMD is 0% .:D
 
Just saw this over at EB -- props to Scott Davey! :smile:

According to Bloomberg and The Globe & Mail, AMD are considering a $5.6 Billion (U.S.) takeover bid for ATI. :oops:

Globe & Mail Article said:
[...]
The board of directors at Sunnyvale, California-based AMD have approved a takeover offer, according to an investment banker familiar with the talks. Other sources in the financial industry said AMD executives have been spotted at ATI's Markham, Ont. head office.
[...]
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The Globe piece does cite quite a bit of analyst caution over the merits of such a deal.
 
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I suppose someone's got to ask, are AMD getting their second choice? Did they really want NVidia?

Jawed
 
Jawed said:
I suppose someone's got to ask, are AMD getting their second choice? Did they really want NVidia?

Jawed
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And, if so, were Nvidia the ones who refused to be bought ?
Also, why would they refuse ? Not enough money on the table ?
A strategic "neutral position" between supporting AMD or Intel ?

Too many questions...
 
Not to suggest that AMD's primary reason for purchasing ATI would be to deflect from their poor Q2 results, as if true, talks would have likely been ongoing for many months or more, but delaying an annoucement or at least delaying the more public process of announcing takeover talks with shareholders and the ensuing, wider media coverage until shortly after the poor market reaction to their recent results, may have some advantages.

I thought that if an annoucement were to happen, it would be before the last CC, to soften the earnings blow and shift attention to the new dynamic such a move would bring. A couple of ifs ahead, but if the market reaction to the start of this whole process via an official public annoucement (on Monday, if true) is positive or tends to improve as the process draws out over the coming months (assuming it does) and more details of the future relationship/combined entity become clear, it should add a lot of buzz to AMD over the difficult coming months against a resurgent Intel product line-up and price gouging and deflect from short-term financial concerns simply because it would be such a significant investment in long term capability and diversification. Whether it's the right thing for both companies at this time is another matter!

As noted in the CNN piece, it is rather interesting that none of the analysts enquired about the rumours at either of the last AMD or ATI CC's -- even if they likely expected the standard, "we don't comment on rumours" or similar response, the recipient's reaction could have been somwhat telling -- well, at least it would have given us some more vagaries to speculate on! :p
 
A little too late to snag the 360 contract, AMD. Maybe not too late for the Phantom, though.

Oh, the stories Dave could tell--or at least the one-word meta-(crypto-?)stories he could imply.
 
Not sure I even know how to react to this one. Too many players and too many consequences to begin guessing at what the future of the CPU/GPU landscape will be.
 
trinibwoy said:
Not sure I even know how to react to this one. Too many players and too many consequences to begin guessing at what the future of the CPU/GPU landscape will be.
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Well, obviously the place to start will be what the leadership of both sides says about it after it is announced. As to what each saw as attractive, and where they see things going. But apparently we have to wait a couple days for that.

But then that's just where to start. I think there might be some "selling" to do in various places in the days ahead, so hopefully we'll have a chance to hear enough about what the leadership has in mind to get a decent sense.
 
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