A new rumour has surfaced online, somewhat unexpected, suggesting that Microsoft may be looking to purchase Advanced Micro Devices, and getting further into the hardware market. It has been reported that AMD were approached earlier in the year, however the result of these talks is not clear. ‘KitGuru’ shared this information from an anonymous source, continuing with more details about the supposed purchase. Currently Microsoft has $95.3 billion in cash, which could easily offer AMD a perfect deal, only being capitalised at $1.81 billion.
This is not only to help developing hardware for PCs, but also for console gaming, and specifically the Xbox One and Playstation 4. It is estimated that $100 is paid to AMD per Xbox One sold, in order to use the hardware found inside the console. The purchase of AMD would not only save around $1 billion a year on Xbox One hardware, but also allow further innovation across Microsoft’s own device ranges.
This deal will also favour Microsoft in an extra, less direct way, regarding the sales of Playstation 4 consoles. If this source is correct, Sony will be required to continue paying AMD for its hardware, or in other words, put money in Microsoft’s pocket with each sale of a Playstation 4. This would greatly affect the chips used in upcoming Playstation products, and it would be expected that Sony will move to another company when developing their next generation of hardware.
Neither party involved has commented on the rumour, and with no verification of the source, the rumour should only be taken lightly. We will update this story once we receive further information regarding the matter.
Source: KitGuru
Matt was a regular ICXM contributor in 2015, publishing 110 articles across game reviews, Windows and PC, and Xbox news. Their work focused on hands-on reviews, platform commentary, and breaking-news reporting during the Xbox One’s first full year of post-launch coverage, including the early days of Backwards Compatibility and Windows 10 gaming. They post on X as @RTEnvi.