AMD Sells Texas Facility and Leases It Back

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bpstone

AMD is not financially strong from what I can see. The company needs to eliminate product lines that are not generating positive number profit margins. It may no longer be viable for them to research then release new products in a short time frame. Their 7000 series GPUs being around for another year is evident of that. Intel and Nvidia will undoubtedly love less competition. It still is better than losing the whole company.

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hammer6556

I was just wondering, if your company goes bankrupt, will that get you out of a lease? I'm not asking because of AMD's decision because I'm sure they have plenty of competitive products in the most popular markets, like mobile and tablets.

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Renegade Knight

What you get is a short term cash infusion from the sale of your property. What you pay is a long term payment that will cost you more than keeping your property would have cost you to begin with.

What AMD is betting is that the cash will help them prop up their business and be profitable in the long run. They are betting that the short term cash does them more good than the long term costs will hurt them.

It says AMD is hurting.

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vrmlbasic

Why own the building if you don't have to?

If only AMD could do it like the state governments do when they privatize their toll roads: shed the expense of running/maintaining the road while still retaining ownership of the property and thus getting money for nothing.

Furthering their cash flow for the quarter, lol, I just bought another 8350 to replace my aged phenom II in my old secondary gaming machine. Though I'm not sure how much improvement I'll see as only crappy coding from game devs could end that old 955 below 60 FPS (eg:Borderlands 2, dynamic shadows in Borderlands 1, most anything based on CryEngine 3).

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Renegade Knight

When a state sells a road to a company to run it as a toll road. Here is a breakdown of the costs.

Had the state kept it you would pay maintenance costs.

By selling it you pay for the private company to recoup the cost of the purchase. You pay for maintenance and you pay for profit. Plus the state won't lower your tax rate.

Lastly if the state is going to take back the road after the lease is up they will find that the road is in as bad of shape if not worse than they started with. Companies can make more profit by doing less needed maintenance.

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Danthrax66

Cryengine 3 doesn't have crappy coding it is the most graphically intensive engine with all the settings turned up. But it also scales down very well to the point where they can use it to power an fps game that you play through your browser: Warface.

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vrmlbasic

And yet the engine barely taxes my Crossfire setup, and creates CPU bottlenecks that really shouldn't exist in 2013. We hear that most games are GPU bound, that the CPU is largely inconsequential outside of a few select games (eg:Starcraft II), but Cryengine 3 hasn't even begun to take advantage of my GPUs.

While this could be poor coding on the part of those creating the games based off of the engine, I'm getting the impression that many of these games are so hamstrung by the engine itself due to Crytek's underwhelming design. Similar to console ports of PC games running under Unreal: low GPU use, inefficient CPU usage that doesn't even begin to use more than 2 threads, still trying to pack too much into the "rendering thread". Even the 360 has support for 3 simultaneously, no?

Like many, I've been disappointed with all iterations of Cryengine that have been designed to run on the consoles. It just hasn't been the same: even though the original Crysis had similar issues to what I've just railed against, it still ran a helluva lot faster and looked better.

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Sty

I think he means unoptimised. It's no secret that Cryengine is a bit bloated in terms of the code, though it does look so damn good.

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limitbreaker

AMD sure knows how to hang on albeit in a very embarrassing way. Reminds me of people who sell stuff at the pawnshop for some quick cash, they then pay 20% extra to get their stuff back.

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