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AMD was about to go bankcrupt in 2012-13. CEO Rory Read laid off a large number of non-engineering staff and sold off real estate to stabilize the financial sit

AMD was about to go bankcrupt in 2012-13. CEO Rory Read laid off a large number of non-engineering staff and sold off real estate to stabilize the financial situation and managed to stave off imminent bankruptcy. When Dr Lisa Su took over in 2014, AMD was desperate for a cash infusion to plow into R&D for the Zen architecture. There was no U.S. investor willing to make a $300 million investment in a company that held key CPU and GPU technology and world-class engineering expertise. Apple, Google, Microsoft could have benefited from AMD's CPU/GPU tech but they would rather make multi-billion dollar offers for companies like Groupon and Snapchat or Dr Dre's Beats. An American company was saved by this joint venture with China while Wall Street was gleefully shorting AMD.

adventured 7y ago
Abu Dhabi did more to keep AMD alive than China. They ploughed $600 million into AMD in 2007. Mubadala had built up a 13% stake in the company.
- AareyBaba 7y ago
  Yes that is correct. Abu Dhabi investment kept AMD alive for a while but by 2012-13 AMD was at rock bottom and needed more cash to implement a turn-around. There was a lot more financial jugglery going on but to go into detail would be off context to the discussion.
throwaway2048 7y ago
goes to show how out of wack shit has gotten with investment in the real economy has gotten, as opposed to chasing online ad money.
- max_wen 7y ago
  "goes to show how out of wack shit has gotten with investment in the real economy has gotten, as opposed to chasing online ad money." this!
CharlesColeman 7y ago
> There was no U.S. investor willing to make a $300 million investment in a company that held key CPU and GPU technology and world-class engineering expertise. Apple, Google, Microsoft could have benefited from AMD's CPU/GPU tech but they would rather make multi-billion dollar offers for companies like Groupon and Snapchat or Dr Dre's Beats. Or the US government. Given the national security implications, and investment may have been a wise thing to do.

adventured 7y ago

Abu Dhabi did more to keep AMD alive than China. They ploughed $600 million into AMD in 2007. Mubadala had built up a 13% stake in the company.

AareyBaba 7y ago
Yes that is correct. Abu Dhabi investment kept AMD alive for a while but by 2012-13 AMD was at rock bottom and needed more cash to implement a turn-around. There was a lot more financial jugglery going on but to go into detail would be off context to the discussion.

throwaway2048 7y ago

goes to show how out of wack shit has gotten with investment in the real economy has gotten, as opposed to chasing online ad money.

max_wen 7y ago
"goes to show how out of wack shit has gotten with investment in the real economy has gotten, as opposed to chasing online ad money." this!

CharlesColeman 7y ago

> There was no U.S. investor willing to make a $300 million investment in a company that held key CPU and GPU technology and world-class engineering expertise. Apple, Google, Microsoft could have benefited from AMD's CPU/GPU tech but they would rather make multi-billion dollar offers for companies like Groupon and Snapchat or Dr Dre's Beats. Or the US government. Given the national security implications, and investment may have been a wise thing to do.