http://browser.geekbench.com/v4/cpu/6854690
https://www.forbes.com/sites/patric...v-and-gets-293-million-to-start/#703783399df8
Lisa Su meeting with China's minister of Industry and Information Technology
http://www.miit.gov.cn/n1146290/n1146397/c6127573/content.html
Meeting agenda includes IC development and China's future business partnership with AMD.
https://www.forbes.com/sites/patric...v-and-gets-293-million-to-start/#703783399df8
The deal also gives AMD a minimum of $293M in cash as long as AMD meets their IP delivery dates. AMD’s Q1 earnings results include $52 million net cash received from the IP licensing agreement and will be another $25M in Q2. According to AMD, as soon as JV parts start shipping, it would also involve royalties on top of the licensing dollars on a per-shipment basis. Cash is good for AMD at this point, but leaving the analysis there isn’t doing this justice.
Years back, Advanced Micro Devices disclosed that it would attempt to monetize its IP in areas that aren’t being monetized, which AMD called “key areas”. And AMD has good IP. There are only two “big” GPU producers and AMD is one of them. I could also argue there are four, maybe five people with the expertise to do “big” CPU cores, and AMD is one of them. This deal is at least one victory lap on monetizing its IP. I expect more to come in the future, especially with GPUs.
I like this deal for AMD for many reasons:
In terms of uniqueness, from publicly-based information, this is the only X86-based server SoC put together with a Chinese company. Intel cut a deal in January in China for an MCP (multi-chip package) which could become an SoC, but for now, it’s an MCP. The end result is a custom Chinese solution for both, but an SoC just has further levels of integration.
- Delivers on the promise of expanded IP monetization
- Increases AMD’s cash balance
- Has a royalty back-end after the license fees run out
- Extends AMD’s reach with technology that for the most part, has already been created. AMD won’t have to spend 100s and millions of dollars to deliver on this.
- Doesn’t block AMD from having their own branded X86-based processor in China
Lisa Su meeting with China's minister of Industry and Information Technology
http://www.miit.gov.cn/n1146290/n1146397/c6127573/content.html
Meeting agenda includes IC development and China's future business partnership with AMD.
Last edited: