As Advanced Micro Devices tries to cut costs and return to profitability, the 2006 acquisition of ATI continues to weigh on the company.
AMD on Friday announced that it will take a charge of US$880 million related to ATI's former business units in the second quarter of 2008. The charges relate to impaired assets in ATI's former handheld and digital TV business units, which were merged into AMD's consumer electronics group after the acquisition.
The company is announcing its second-quarter results on Thursday.
AMD's acquisition of ATI for $5.4 billion was viewed as a potent weapon in its attempt to dent Intel's domination of the x86 processor market. However, the company has now reported six consecutive quarterly losses.
In the first quarter of 2008, AMD reported a net loss of $358 million on revenue of $1.51 billion. The results included $50 million related to ATI's acquisition.............
More: http://www.pcworld.com/businesscenter/article/148284/ati_acquisition_still_weighing_on_amd.html
AMD on Friday announced that it will take a charge of US$880 million related to ATI's former business units in the second quarter of 2008. The charges relate to impaired assets in ATI's former handheld and digital TV business units, which were merged into AMD's consumer electronics group after the acquisition.
The company is announcing its second-quarter results on Thursday.
AMD's acquisition of ATI for $5.4 billion was viewed as a potent weapon in its attempt to dent Intel's domination of the x86 processor market. However, the company has now reported six consecutive quarterly losses.
In the first quarter of 2008, AMD reported a net loss of $358 million on revenue of $1.51 billion. The results included $50 million related to ATI's acquisition.............
More: http://www.pcworld.com/businesscenter/article/148284/ati_acquisition_still_weighing_on_amd.html