Xbox One: Microsoft deal with AMD worth $3 billion

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Microsoft's deal with AMD for the Xbox One is worth more than $3 billion, according to a former AMD employee.

The figure comes via Bob Feldstein, a former AMD employee now employed by Nvidia. An entry on Feldstein's LinkedIn page says the deal is worth more than $3 million.
"AMD provided a custom silicon solution to Microsoft for the XBox One, a game console and entertainment device," the entry reads.

"My involvement was focused on business management and supply agreement negotiations. This required the coordination of multiple functional teams within AMD, as well as regular customer meetings with leadership teams responsible for handling the challenges of complex, multi-year deals. This project is valued at $3+B."

AMD also services Sony and Nintendo for the PlayStation 4 and Wii U.

The next generation Xbox will host 8GB of RAM and be based on 64bit architecture, the company revealed at a live event last Tuesday.

Posted:
Related Forum: Xbox Forum

Source: http://www.computerandvideogames.com/409214/xbox-one-microsoft-deal-with-amd-worth-3-billion/

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"Xbox One: Microsoft deal with AMD worth $3 billion" :: Login/Create an Account :: 41 comments

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slapshot101Posted:

ShadowBoltDashie
BDB They could lower the price since they have lots of money anyways, to 300-400$.


To Microsoft though, that is asking too much from them. Yeah it would more and likely boost sales but they will keep with the same price because they know people will still buy the Xbox One.

Well if you look at the cost of the console and everything involved with it like marketing, shipping,and endorsements, they can't go much lower then this. They have to make at least some profit, it is just basic business sense.

MentalistPosted:

ShadowBoltDashie
BDB
Frog It drives me crazy that Microsoft have so much money and they still take their customers money for anything they can.


I know right, they could make online gaming free and lower the price.


But they won't that's the thing. Microsoft will always do what they can for their money.


Sad but true, big companies are greedy :(

TaigaAisakaPosted:

BDB They could lower the price since they have lots of money anyways, to 300-400$.


To Microsoft though, that is asking too much from them. Yeah it would more and likely boost sales but they will keep with the same price because they know people will still buy the Xbox One.

TaigaAisakaPosted:

BDB
Frog It drives me crazy that Microsoft have so much money and they still take their customers money for anything they can.


I know right, they could make online gaming free and lower the price.


But they won't that's the thing. Microsoft will always do what they can for their money.

MentalistPosted:

Frog It drives me crazy that Microsoft have so much money and they still take their customers money for anything they can.


I know right, they could make online gaming free and lower the price.

MentalistPosted:

They could lower the price since they have lots of money anyways, to 300-400$.

FrogPosted:

It drives me crazy that Microsoft have so much money and they still take their customers money for anything they can.

LosT_CrayonZPosted:

wow,thats crazy

slapshot101Posted:

Wow, AMD is rolling in the money now, doing chips for all the new consoles, all three of them, it's easily worth 10 billion combined.

NasyrPosted:

$3 billion is a lot of money for one console.


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