Advanced Micro Devices Inc (AMD)

[jhalada]

alan,

I am CERTAIN Intel was in talks to sell the business to the same investment group that is buying the STM NOR business. The only question is if the deal will actually go through. Intel needs to get enough cash for the business to pay for the assets. I suspect such a deal is pretty complex because Intel has flash factories and R&D in several different global locations... and exactly which ones get transfered and for what price would be a huge negotiation.

One thing that should help is that there are number of synergies already in place (product interchangeability, existing technology exchange), so there some cost savings that could be realized fairly quickly. I think the problem (for the investment group) is that probably even after the cost savings, there is still quite a way to go to achieve profitability.

Joe