Intel trying to throw some cold H2O on Amd

[RetiredChief]

Normally I do not post flame bait - Only posting this as “for what it’s worth” dept
Almost titled it AMD vs Intel – Let the battle continue. Maybe the can make it into a PC game titled Amd fanboy vs Intel Fanboy (Ladies take no offense, but fanperson just does not sit).

Any way I decided to post it as it could have a bearing on future stock prices.

http://www.cdrinfo.com/Sections/News/Details.aspx?NewsId=24146
Quote
Intel claims that AMD's move to spin off its manufacturing business may violate the IP licensing agreement between the two companies. ……….Intel said on Thursday that was ready to defend its patents and that was evaluating whether a new manufacturing business spun out of AMD could end the cross-licensing agreement between the firms. But Intel spokesman Chuck Mulloy said that AMD and Intel have a patent cross-licensing agreement under which AMD pays royalties to Intel. "Intel has serious questions about this transaction as it relates to the license and will vigorously protect Intel's intellectual property rights," Mulloy said on AMD's announcement.

On the other hand, AMD defends itself and claims that it has already paid attention to the restrictions in the company's various licensing agreements when making plans for the spin-off. Intel has many reasons to watch AMD's moves since once the plan will proceed, AMD comes back stronger financially while they still partially own their fab operations. Intel would have to enter into a pure design race with AMD and lose the advantage of strong manufacturing capacity, which has been a major push for Intel for the last two years.
End Quote

Appologize if this has alread been posted

 

[spathotan]

Dont see anything to come of this. Intel is playing the role of most big companies when they feel threatened by a close competitor. Gigabyte played this card against ASUS a few months ago concerning the EPU chips. Not exactly the same, but you get the point.

 

[BeakerUK]

*shrug* If Intel did pull AMD up, then the cross-licence agreements mean Intel will have to drop back on some aspects of their own CPUs. IIRC AMD Owns the patent on hyperthreading, but they never actually used it, likewise the x64 instruction set isn't Intel's property, but they are allowed to use it.

It's all swings and roundabouts, they'll work something out between them because they'll be pressured into it by other companies.

I Know I'll get accused of fanboyism at some point due to my mainly AMD setups, but I'm quite happy to admit that AMD got complacent, and got stomped as a result.

 

[yipsl]

*shrug* If Intel did pull AMD up, then the cross-licence agreements mean Intel will have to drop back on some aspects of their own CPUs. IIRC AMD Owns the patent on hyperthreading, but they never actually used it, likewise the x64 instruction set isn't Intel's property, but they are allowed to use it.

The way it's going now, the relationship between AMD and Intel vis a vis their cross licensing agreements reminds me of Meatloaf's "Paradise by the Dashboard Light". Intel probably regrets subcontracting any processor work early in the days of the PC to AMD, and would like to use the x86 license to restrict AMD now that they've divided the company and are essentially fabless. They're just "waiting for the end of time to hurry up and arrive" so to speak.

Whatever replaces x86 will probably be jointly developed by all the major semiconductor and computer companies. Until then, it's all a sort of lover's spat over everything from OEM rebates to market restrictions to violations of various cross licensing agreements. Neither can afford a divorce and both will continue to bluster, threaten and actually go to court as they see the need.

 

[BeakerUK]

Whatever replaces x86 will probably be jointly developed by all the major semiconductor and computer companies. Until then, it's all a sort of lover's spat over everything from OEM rebates to market restrictions to violations of various cross licensing agreements. Neither can afford a divorce and both will continue to bluster, threaten and actually go to court as they see the need.

Pretty much sums up my opinion as well. Though i do think that the splitting of the Fabs off will make AMD a more attractive target to an other larger CPU design and development company. From a business POV it looks from the outside like AMD are setting themselves up to be sold someone else. IF (and it is a huge IF) that is the way they are heading, then the most likely company to buy them is IBM, but IBM won't want the Fabs. I've seen various rumours floated around for the past few years that AMD are being bought out, and they pop up a little too often to be totally without merit. Considering the extended working relationship that the two companies have, and the fact AMD is using IBM technology in their development process I wouldn't be surprised if this is the eventual aim (though that said, pretty much everyone not called Intel has been given access to the IBM tech). See how things pan out, but right now nothing would surprise me.

 

[yipsl]

IBM's largely a service company, though they could see value in AMD. I doubt they'd want ATI. I can't see them entering the desktop retail CPU or GPU business.

Overall, I don't see AMD being sold to anyone because of the cross licensing agreements in place. As long as x86 has value in the server, desktop and notebook space, then it will be a matter of AMD trying to increase market share vs. Intel and Intel trying to keep AMD around while limiting AMD's market share to the point where AMD survives but Intel thrives.



As long as x86 has value, AMD and Intel will jockey for position and

 

[Reynod]

It will be interesting.

 

[NewLCD123]

What happens if AMD sells itself? Intel as a monopoly will charge $5000 for their CPUS

 

[Reynod]

We will just have to get some LN and overclock what we have already got ...

or start stacking them together and running our old PC's in parallel with REALLY fast network cards.


Or ... Take a mortgage out on a new INTEL CPU ...

Man they are hellbent on crushing AMD.

 

[jimmysmitty]

^Tey you know as well as anyone else if it was AMD in Intels position they would do the same thing. Every company would do this because they have a right to protect their intellectual properties.

 

[Scotteq]

What happens if AMD sells itself? Intel as a monopoly will charge $5000 for their CPUS

Ummm... In a word: No

Why? Because whoever purchases AMD (and that's a really big *IF*) would be doing so with with the full knowledge and intention of competing in the x86 processor market against Intel.