![[H]ard|Forum](/styles/hardforum/xenforo/logo_dark.png){kind=logo}
http://www.cnbc.com/id/25624745
For those of you who aren't following the stocks, AMD has been dropping. Infact, it's really dropped. AMD's stock touched 4.75 today. That's a market capital (shares*price) valuation of 2.9B of the company. When they aquired ATI, it was for 5.4B.
It's dropped to nearly 20% of it's 2 year's high. Not only that, Intel has a market capital of 115B atm. Yes, Intel is currently worth 40 times more than AMD. What's more, Intel gross's the current valuation of AMD every 26.5 days.
Now I'm not saying AMD is going under tommorow. Because they're not. But things are not looking good. And frankly, I like competition. But honestly, I'm scared. When Nvidia dropped, I wasn't really worried. It doesn't have debt. AMD does.
That's the bad news. Now for the good.
AMD/ATI has launched the 4850 and 4870. If AMD is going to have a chance, these need to gain lots of market share. These are both high end parts, so the volume on these isn't goint to be much, but rumor has it they are able to make these things really, really cheap.
Next week earnings come out for AMD. Nvidia of course lowered thier Q2 earnings expectations (they will come out on the 12th of August). One of the major questions is what is going to happen on AMDs earnings. Now I'm not sure when the money from the 4850s and 4870s show up on AMDs balance sheets relative to the release of the cards. But it should show up a month or two before the cards are released as they sell them to the card makers.
Long story short, AMD NEEDS to beat the expectations coming out next week. A lot of people think they won't. ATI may have "caught Nvidia with its pants down" on this card release, however AMD may be doing so badly, that ATI can't prop up AMD. And they won't be spending as much on research for the next card as they are literally running out of money. (Posting losses Q after Q will do that to you
).
Where does this all leave gaming? Do you think AMD will survive the next year? ATI will survive in some form, I know that, that division of the company is making money. It may get sold off, but they will survive.
For those of you who aren't following the stocks, AMD has been dropping. Infact, it's really dropped. AMD's stock touched 4.75 today. That's a market capital (shares*price) valuation of 2.9B of the company. When they aquired ATI, it was for 5.4B.
It's dropped to nearly 20% of it's 2 year's high. Not only that, Intel has a market capital of 115B atm. Yes, Intel is currently worth 40 times more than AMD. What's more, Intel gross's the current valuation of AMD every 26.5 days.
Now I'm not saying AMD is going under tommorow. Because they're not. But things are not looking good. And frankly, I like competition. But honestly, I'm scared. When Nvidia dropped, I wasn't really worried. It doesn't have debt. AMD does.
That's the bad news. Now for the good.
AMD/ATI has launched the 4850 and 4870. If AMD is going to have a chance, these need to gain lots of market share. These are both high end parts, so the volume on these isn't goint to be much, but rumor has it they are able to make these things really, really cheap.
Next week earnings come out for AMD. Nvidia of course lowered thier Q2 earnings expectations (they will come out on the 12th of August). One of the major questions is what is going to happen on AMDs earnings. Now I'm not sure when the money from the 4850s and 4870s show up on AMDs balance sheets relative to the release of the cards. But it should show up a month or two before the cards are released as they sell them to the card makers.
Long story short, AMD NEEDS to beat the expectations coming out next week. A lot of people think they won't. ATI may have "caught Nvidia with its pants down" on this card release, however AMD may be doing so badly, that ATI can't prop up AMD. And they won't be spending as much on research for the next card as they are literally running out of money. (Posting losses Q after Q will do that to you
). Where does this all leave gaming? Do you think AMD will survive the next year? ATI will survive in some form, I know that, that division of the company is making money. It may get sold off, but they will survive.
