Addressing a deficiency of its own and further upping the competitive tension between it and chief rival Intel ( nasdaq : INTC - news - people ) , Advanced Micro Devices ( nyse : AMD - news - people ) intends to acquire graphics chipmaker ATI Technologies ( nasdaq : ATYT - news - people ) in a $ 5.4 billion deal .
Advanced Micro Devices
address deficiency up competitive tension chief rival intel nasdaq intc news people advanced micro devices nyse amd news people intend acquire graphic chipmaker ati technologies nasdaq atyt news people $ 5.4 billion deal
Addressing a deficiency of its own and further upping the competitive tension between it and chief rival Intel ( nasdaq : INTC - news - people ) , <m> Advanced Micro Devices </m> ( nyse : AMD - news - people ) intends to acquire graphics chipmaker ATI Technologies ( nasdaq : ATYT - news - people ) in a $ 5.4 billion deal .
Graphic Talk About Nvidia
Addressing a deficiency of its own and further upping the competitive tension between it and chief rival Intel ( nasdaq : INTC - news - people ) , <m> Advanced Micro Devices </m> ( nyse : AMD - news - people ) intends to acquire graphics chipmaker ATI Technologies ( nasdaq : ATYT - news - people ) in a $ 5.4 billion deal .
Is Intel below $ 19 too cheap to last or still above what the chipmaker 's worth ?
The question for many is where that leaves Nvidia Corp. ( nasdaq : NVDA - news - people ) , now the sole independent graphics chip maker addressing each of the computing , mobile communications and display markets .
We think not too much worse off than before the deal , and believe shares in the company remain a compelling way to play growth in gaming- and media-oriented computing .
Our view of the Advanced Micro Devices / ATI Technologies deal is that it 's the last major move AMD needed to make to match Intel 's breadth in the processor market ( now that Intel has shed its communications processor business ) .
Intel has had for some time the ability to integrate graphics capabilities into its offerings for PC makers , resources for which AMD has had to rely on other folks , including both ATI and Nvidia .
The AMD/ATI combination now trumps Intel 's strategy by adding the capacity to package higher-end chips for gaming and complex graphic manipulation .
We 're not sure that 's a huge game-changer for ATI in its ongoing match against Nvidia , though .
We doubt AMD would shut out Nvidia 's ability to integrate with its core processors , as any such move might lessen the attractiveness of AMD 's core products to that crowd .