AMD executives will be able to pop the champagne this Thursday, February 17, 2022. For the first time in its history, the market capitalization of the manufacturer has exceeded that of Intel, to reach 197.75 billion dollars at the close of the markets. , against 197.24 billion for its eternal competitor.
As rumors surrounding the Radeon RX 7000s and their 5nm engraving intensify on the web, AMD executives will probably pop the champagne tonight. As reported by our colleagues from the Tom’s Hardware site, the market capitalization of the manufacturer has just exceeded that of Intelits main rival.
At market close on February 15, AMD recorded a stock market value of $197.75 billion against 197.24 billion for its longtime competitor. This sudden increase is mainly due to the takeover of Xilins by AMD for an amount of $49 billion.
“AMD’s acquisition of Xilins creates the industry leader in high-performance and adaptive computing, combining a highly complementary set of products, customers and markets with differentiated intellectual property and world-class talent. The combination of AMD and Xilins has significant advantages in terms of products, technologies, markets and finances,” says Lisa Su, CEO of AMD.
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AMD overtakes Intel on the stock market thanks to the acquisition of Xilins
The Xilins acquisition triggered the conversion of 248.8 million Xilins shares into 428 new AMD shares. Added to AMD’s 1.2 billion existing shares, that brings the company’s total stock count to 1.628 billion, which explains its larger market capitalization than Intel. Note, however, that the difference is small between the two companies: “only” $51 million separates them.
Either way, it’s a great performance for a company that was on the verge of bankruptcy just six years ago. After years of hard work to get back on the scene, in particular thanks to its Zen architecture, AMD has therefore concluded the largest acquisition in the history of companies specializing in semiconductors. Be careful however, Intel remains the market leader with 75% of the global market share on x86 processors, compared to 25% for AMD. Moreover, Intel has never shown such better financial shape, since the company has just recorded its 6th year with record revenues.
Source: Tom’s Hardware
