How will ATIs recent success effect AMDs overall profits

J

j1979

Limp Gawd
Joined
Mar 29, 2007
Messages
291
with the 48xx grapics cards looking like the best buy for the savy gamer, ATI will probably make a dent in Nvidia, but overall how will this help AMD financialy?

Do they now have a chance of getting back in the black?
 
Very little and AMD probably still won't see black until 2009. Graphic and chipset sales account for a very small portion of AMD's total revenues.
 
a great deal actually. not in terms direct profits but in public perception (equaling more sales in the long run ) This will also make investors happy with the ATI purchase. I am thinking that this will be a huge boost for them. (and they need it)
 
Valset said:
This will also make investors happy with the ATI purchase. I am thinking that this will be a huge boost for them. (and they need it)
Click to expand...
In ATI's best times (R300 launch), with nvidia losing massive share, ATI's profits were somewhat healthy but still nowhere near what nvidia makes even in refresh cycles. I saw it stated this way on another board: it would take AMD 5 graphic refreshes (over 7 years) of the same success to break even on the ATI purchase. nvidia may have problems at the flagship high end, but nothing close to the R300 vs NV30 fiasco.

The other excuse for the ATI purchase was Fusion, which is initially just going to be a MCM. Intel will have a mass market "native" integrated graphics x86 chip first, possibly even before AMD has a MCM version out. It's not surprising since Intel was talking about it almost a year before AMD hinted at what would become Fusion. ATI is still looking like a poor decision. Sorry.

Investors don't seem to think the HD 4800 series is AMD's savior product. AMD's stock has dropped by over 25% since the HD 4800 series came out (of course poor Q2 results are also looming). http://finance.yahoo.com/q/bc?s=AMD&t=3m&l=off&z=l&q=l&c=
 
Until they fix the issues with their CPU's they'll hemorrhage money nonstop. Intel is just kicking their ass right now.
 
ive been peeping at amd's stocks since the new 4xxx has been released. Wierd thing is i think the stocks didnt budge or went down :confused: .
 
tvdang7 said:
ive been peeping at amd's stocks since the new 4xxx has been released. Wierd thing is i think the stocks didnt budge or went down :confused: .
Click to expand...

Literally, everything has gone down the past 2 weeks, no surprise that AMD followed this trend.
 
jaxstraww said:
Until they fix the issues with their CPU's they'll hemorrhage money nonstop. Intel is just kicking their ass right now.
Click to expand...

nehalem's not going to help. Bulldozer (due ~late 09?) will be the last chip with a healthy development cycle. After that, the R&D team starts getting smaller, and it becomes less likely that through hard work alone AMD can put a profitable chip on top of Intel. They'll require another netburst from intel. God what a horrible idea that was.
 
i would imagine, after a while of continuous success and giving the consumer what they want/need, amd will see big profits. I would think that video cards are a much more lucrative market than cpu's and chipsets, but i'm not 100% certain of this. NVIDIA built an entire company on video cards, and i know that nvidia is a much larger company than ati was.

just speculation, but it could be great for amd in the not-so distant future.... though i do think that nvidia will win in the short run.
 
You must log in or register to reply here.
Back
Top