What you need to know
- AMD announced its intentions to purchase Xilinx in October 2020.
- Now, the deal has closed, and AMD has successfully acquired the company.
- The original price tag was valued at $35 billion, but thanks to the rise in AMD's stock, the worth of the deal is estimated to be around $50 billion.
Some companies have had a rough go of the acquisition game in recent memory, but not AMD. AMD's riding high with a successfully cleared purchase of Xilinx.
Less than a week after NVIDIA's attempted acquisition of Arm imploded, AMD announced that it successfully acquired Xilinx, having passed all relevant regulatory hurdles and made it over the finish line.
The all-stock deal was originally announced in October 2020, and at the time carried a price tag of $35 billion. Thanks to AMD's steady stock value increase, the deal is now tallied at around $50 billion in worth. AMD took to Twitter to share more details about the acquisition.
"AMD's strength in CPUs, GPUs and SoCs perfectly complements Xilinx's best-in-class FPGA, Adaptive SOCs, deep software expertise and industry-specific solutions," the company said on Twitter. It then christened Xilinx the new Adaptive and Embedded Computing group for AMD. Xilinx CEO Victor Peng will serve as president of the group.
What Xilinx brings should help AMD in its battle with Intel for data center chip market share, among other things. AMD noted that this deal's close means the company now has over 15,000 engineers. It will need them in order to keep producing the best graphics cards and CPUs on the market, especially as Intel and NVIDIA continue to keep the pressure on with developments of their own. It's shaping up to be a competitive 2022 for the big three.