AMD Ripe For Buyout?

H

HardOCP News

[H] News
Joined
Dec 31, 1969
Messages
0
Reuters is reporting on the speculation that AMD is a takeover target and what the rumors have done to the company’s stock. As you might expect, there was no comment from AMD on the rumors.

"The volume in AMD March calls have been abnormally high," said Steve Sosnick, equity risk manager at Timber Hill, a division of Interactive Brokers Group. "There are rumors of a private equity buyout. At least in the near term, the options market is giving some credence to these rumors."
Click to expand...
 
So what would that mean for AMD. Same as always just a private company instead of a public company (Is that right or am I thinking of something else).
 
I would prefer if AMD goes private.
 
The question is, if they are ripe for a buyout who would buy them, and why?
 
Well for one Intel wouldn't buy them (just thought I'd throw that out there) because then they'd end up like Microsoft...and they can't afford that :D.

But this is interesting news and nothing else we can do but wait and see.
 
Strange that this news comes out a few months after the ATI buyout.

Who would buy thoses two ? I mean, the other "strong" chip makers in the world (except intel) are IBM, Via.. SiS..

This is fun.. speculating session started.
 
I'd die laughing if Sony bought them out :D I just want to see peoples reactions.
 
yeah. I heard this rumored about 2 or 3 weeks ago. So, to see it coming from the news isn't such a shock. All I care about is seeing AMD put a whompin' on Intel. I hope that their next string of chips will give them back the performance crown, regardless of who owns them.
 
Here one's person's reaction - I'd run for the hills, Intel for life if it happened :p. And every single PC I've built has been AMD based - mind you the first PC I did my own was a 900 Duron, but you get the point.

If Sony were to buyout (about as likely as hell freezing over but hey..) DAAMIT, that would ruin whatever credibility that they now have between the 2 merged companies now. Sony has had a LONG string of MAJOR (legal and simple PR too) blunders in the recent past, and lost much of the respect that they gained in years past with their more groundbreaking (?) products like the Walkman. ARRCoS, rootkits, multiple flubs surrounding the PS3, and that's just (some?) what the last year's worth of Sony arrogance? I can't imagine there's much love in [H]-town for Sony as is, nor do I think any but very few here would support such a move - it would do nothing more than support the migration of many die-hard AMDers over to Intel. Hell, given AMD's current performance situation, unless K8L+ (?) is really a sleeper (not likely considering how quiet they've been, unlike when K8 was in testing), I'm going Intel for my next build.
 
LOL- How about Nvidia pulling a Creative Labs and buying out ATI/AMD to virtually eliminate the competition. You have to wonder if there is a reason Intel is investing in making their own GPUs.
 
I think this is just a lot of hot air. So what if they lost a little bit of money due to the loan they took out to buy ATI. What did people expect, that the first quarter after the buyout that they would have been making millions? It will probably take them another quarter or two to get back on their feet and start making money again.

I don't see how a little bump like that is going to cause them to be bought out by somebody to help them finicially. I don't think they would have just purchased ATI if they were on the verge of going under.
 
Exavior said:
I think this is just a lot of hot air. So what if they lost a little bit of money due to the loan they took out to buy ATI.
Click to expand...
Actually the bigger problems is that even without the one time charge ($500 million of the loss) to purchase ATI, AMD still had a loss last quarter. To make things worse, just weeks before the night time loss announcement last month AMD was touting revenue projections and margins that they knew were not accurate.
 
Banko said:
The question is, if they are ripe for a buyout who would buy them, and why?
Click to expand...

That's what I'd like to know. The first thing that comes to mind would be a Chinese company, backed by the Chinese government.. It happened with Lenovo, but would the US government allow the sale of AMD?
 
It would be a political disaster if our government was even rumored to want to deny a Chinese company to purchase AMD. We have too many ties with China economically to have that happen.

As for Sony buying AMD, yeah right... it's not like they're making tons and tons of money off the PS3 (yet... maybe? who knows)

My guess it's an investment firm putting a bid in, but will most likely be withdrawn before negotiations are settled. If they do come to an agreement I'd be afraid of AMD/ATI being torn apart and sold off in pieces and then having the monopolies of NVIDIA and Intel rape consumers in the market place with price inflation (at least initially until up-and-comers pick up the slack).

another case of the bottom line being above all :(

R.I.P. AMD and ATI if this is true
 
Diseaseboy said:
LOL- How about Nvidia pulling a Creative Labs and buying out ATI/AMD to virtually eliminate the competition. You have to wonder if there is a reason Intel is investing in making their own GPUs.
Click to expand...

Nvidia is worth about 2 Billion. AMD is worth about 13.
 
I don't think anyone is taking them over, it's more likely that AMD HQ wants to buy out all the public stock of the company, taking them back into the private sector. They'd have less reporting to do, and would have less people to answer to. It'd make for some interesting long-term R&D, as opposed to the we-want-results-tomorrow mentality that small investors usually harbor.
 
AMD isn't going to go anyway. It would screw over Intel to bad.
 
You must log in or register to reply here.
Back
Top