Intel denies graphics IP licensing deal with AMD

Intel logoYou must've read recent reports on the web about an AMD-Intel licensing deal. We purposefully didn't cover that information, spread on May 15th, based on an expiring graphics IP licensing deal between NVIDIA and Intel. The initial report said that since that deal was expiring, Intel was now turning to its x86 arch-enemy, AMD. It would seem those reports weren't based on facts, having since been denied by Intel, who told Barron's Tiernan Ray that "the recent rumors that Intel has licensed AMD's graphics technology are untrue."

Intel denies graphics IP licensing deal with AMD

Investors and speculators are an attentive bunch, and jumped at the original rumor, expecting another million-dollar licensing deal. As a result of the Intel-AMD licensing deal rumor, AMD's stock soared by 12% even before AMD's Financial Analyst day. Naturally, after Intel rectified the story, AMD's stock proceeded to correct the speculative bubble, dropping back to previous levels. AMD could have denied the deal as much as Intel could (it takes two to tango), but chose not to. The company played smartly, keeping its cards close to its chest with a "no comment" posture regarding the rumor. This let AMD AMD play on it, seeing their stock increase (even if it was a short-lived scenario, now rectified in its stock value.)

Source: techPowerUp

Tags: AMD, Intel

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