News Updated
Intel has now confirmed its new deal with AMD for its Radeon graphics technology. The ongoing rumor has recently been confirmed after the company announced the end of terms with Nvidia. The collaboration aims to use silicon interposer which will give new generations sleeker and faster laptops.
This news was sure to come as it was evident that Intel needs a GPU license in upcoming time because the Intel’s agreement with Nvidia is going to end in March 2017. So, after this, it was obvious that Intel has a license from AMD but the company never announced it itself.
The official announcement of the new deal is expected to take place when both of the companies would be having a Q2 earning releases. This news was circulating among the people since some months back and is regarded as a successful visionary decision to be for future.
Intel signed an agreement for its graphic licensing with Nvidia in 2011. This contract worth around $1.5 billion dollars and the duration was of five years. From the initial time, Nvidia and Intel had so many disagreements over many issues like chipset and its licensing. It was mentioned that Intel is never allowed to actually construct the graphic chips along with the Nvidia technology; it had to only serve as a patent litigation.
The AMD Company only needs money and for this purpose licensing is a very effective path to generate a stream of revenue making for them for so many upcoming days. It really affects on their positive profit making and also improves the overall performance much more.
According to Tech Crunch, the Senior Vice President of the Radeon Technologies Mr. Raja Kaduri really helped in all the negotiation matters with the Intel and worked as a major part. Radeon Technologies in much more interested in coming up with new things and technologies.
They wanted to come up with some potential new products and it took some time for Intel to come up with any new architectural based design. The formally announced news of this joint merger would really affect the AMD’s bottom line reputation. This mutual consent would really allow Intel to go and access the Intellectual properties of AMD for the future purpose.
Although these companies are considered to be as competitors but as far as graphics world is concerned then they are best friends. The main purpose of this signed agreement was just to save Intel from the devastation caused it on the name of patent rights. AMD and Nvidia both had a reputed portfolio in the graphics field so it was much difficult for Intel to come and design any of the complex designs for itself on its own because it requires many legal requirements at the back as well. So, the wisest decision to come up with was to make a successful deal with anyone these two big graphic giants.
Lastly, one can also think, why did Intel left Nvidia and added AMD into the gang? There are several reasons behind this strategic move. There was much security and AMD is more than using only of yours litigator benefits. Similarly, there is a big chance that AMD also allows Intel to use its patent design in the upcoming graphical products. And most possibly it has been also seen in the history that many rival companies have been very strong and successful co-workers.