News - AMD spends $320 million to amend wafer supply agreement

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Heavy penalty incurred to better align with “today’s PC market dynamics”. (the PC sales slump)

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Read more.

Yet more bad knews. This is more money that should be going to R&D instead.

Funnily enough the same company which owns GF,also has increased their ownership of AMD to 19% and has had another representative on the AMD board. It seems the total amount of wafers bought upto Q1 2014 has been reduced,so I wonder even with this fee,will they be spending less overall,even if it is not much less??

Edit!!

It seems around only around $65 million in total:

http://www.brightsideofnews.com/news...agreement.aspx

I suppose with less inventory,there is a lower chance of unsold stock.

AMD sold there manufacturing side of the business off and now have to pay them off to get out of overplayed contract, didn't think to do that before selling there remaining 8.8% in Global Foundries...

How ironic would it be that Global Foundries buy up AMD.

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Originally Posted by Lorcaran

How ironic would it be that Global Foundries buy up AMD.

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I guess so.:)