Is it possible for Intel to buy AMD?

[Trente]

It happened in the past and was the only way for the buyer to completely destroy the competition:


nVidia bought 3dfx.

Creative bought Aureal.

...


What would happen if Intel suddenly buy AMD?

 

[Pocatello]

nVidia didn't buy 3dfx, 3dfx was dead before nVidia bought the name 3dfx and hired a bunch of 3dfx people.
Aureal was also dead or close to it.

 

[sisq0kidd]

It is possible financially for Intel to buy AMD, but the question is if it's a wise move? From a reactionary standpoint yes because there would be no competition, but on the other hand, there would be no competition... No competition = monopoly = trouble with gov

 

[stevty2889]

Originally posted by: sisq0kidd
It is possible financially for Intel to buy AMD, but the question is if it's a wise move? From a reactionary standpoint yes because there would be no competition, but on the other hand, there would be no competition... No competition = monopoly = trouble with gov

I agree, while it's a financial possibility for Intel, it would be a bad idea taking taking out their only real major competitor.

 

[Sunner]

Yep, financially they have more than the muscle needed.
Like sisq0kidd said though, the various government agencies around the world probably wouldn't be too happy about it, given the marketshares of AMD/Intel and their competition(which would be VIA) the monopoly that would result would be worse than MS's monopoly ever was.

I guess IBM could buy them out if they felt like it, but that wouldn't make a whole lot of sense IMO.

 

[Regs]

Depends on the majority stock owners. And stock holders know that competition is what makes Applied Materials stock go up. So not unless AMD goes bankrupt or limp, Intel would have a very hard time trying to sued the stock holders underneath AMD's board of directors which would be considered a "Hostile take over". So there really wouldn't be in Intel's best interest, especially with there large market share.

 

[ribbon13]

Uncle Sam would lay the smack down on Intel.

 

[Vegito]

Its possible but its the worse idea in the world.. w/o competition, you'll still be paying 1000 for a 486/25mhz since there will be no motivation to make faster chips and microsoft will still be in windows 3.11 since you need no other os

 

[Fike]

It is more likely that Intel would by a company like Texas Instruments . PC industry growth is flat . Application specific semiconductors in the communications and consumer electronics areas are hot. Intel has been trying to breach TI's control o fthe cell phone market for years. They would more than love to get parts in Ipods, digi cams, and cell phones, especially as these little jobbies converge into one platform.

Regulatorswould NEVER let Intel buy AMD. It would be an obvious anti-competetive action to eliminate their competetion.

Furthermore, the semiconductor industry no longer revolves around the PC as it once did. Intel would be better advised to watch for the next big thing. TI got lucky with DSP and cell phones. Intel is probably not happy about being a smaller player in high margin growth industries like consumer electronics.

 

[Hurricane Andrew]

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

Bingo. Antitrust laws would prevent it almost certainly. The Feds wouldn't even let Dish buy DirectTV, even though there is still significant competition in the marketplace in the form of the cable operators, and soon Telco's most likely. But don't get me started on a rant...

 

[skiingliberal]

I'm not quite sure if uncle sam would lay the smack down on any big company these days. For all their talk about being "pro" free markets, the republicans seem awfully keen to let corporations merge to a highly unethical level where competition comes from fewer and fewer companies. Besides, politicians no longer represent the will of the people, they don't give enough money, and are difficult to please as voting blocs, while corporations give a lot of money and are easy to please.

 

[blatherbeard]

And even if the monopoly rules didnt apply or exist youd get what the WWE is pushing out now. Even worse crap to watch than when Scott STeiner and Goldberg were there.

 

[LTC8K6]

The 2 companies cooperate extensively. There is no need for Intel to buy AMD.

 

[Sqube]

It's possible, but it'd be stupid.

Monopoly != good thing

 

[otispunkmeyer]

Originally posted by: sisq0kidd
It is possible financially for Intel to buy AMD, but the question is if it's a wise move? From a reactionary standpoint yes because there would be no competition, but on the other hand, there would be no competition... No competition = monopoly = trouble with gov

when theres no competition theres no innovation either, so intel would get lazy knowing that they didnt have to crack out a new design to keep up with anyone. and that way we lose out

 

[Oyeve]

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

I think Uncle Sam couldnt care less, but, the EU would squash this like a bug.

 

[ribbon13]

Originally posted by: Oyeve

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

I think Uncle Sam couldnt care less, but, the EU would squash this like a bug.

Dresden Germany would be pissed too.

 

[Budmantom]

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

 

[VirtualLarry]

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

Yep. The FTC is already investigating Intel for anti-competitive practices. Swallowing up your biggest market competitor would be a major red flag for investigators.

 

[flatblastard]

Originally posted by: Hurricane Andrew

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

Bingo. Antitrust laws would prevent it almost certainly. The Feds wouldn't even let Dish buy DirectTV, even though there is still significant competition in the marketplace in the form of the cable operators, and soon Telco's most likely. But don't get me started on a rant...

Yeah, I remember that....I was really disappointed when it didn't go thru....Damn the greedy cable lobbyist!!!!!

 

[miketheidiot]

Originally posted by: ribbon13
Uncle Sam would lay the smack down on Intel.

 

[Sentinel]

antitrust legislation wouldn't allow it

 

[Oyeve]

Puhlease. The FTC has let so many mergers happen its a joke. Did you know there are only 3 music companies? Universal, Time warner and Sony/BMG? The FTC allowed this to happen in a flash, at least the EU took longer but still let it happen. And they wonder why there are so many pirates. Thats why, when I buy music, I make sure its on an indie label.

 

[CheesePoofs]

But this is different, there are really only two companies in the market, so if one swallowed up the other you'd be left with one, or one really big monopoly. The things you listed are different, there are multiple companies still in those markets.

 

[ribbon13]

Well technically, you'd still have VIA for x86 (haha what a joke), and a plethora of other options like IBM's PowerPC.