rumor: ATI Set to Acquire XGI Technologies

On 6 Mar 2006 14:50:17 -0800, "Radeon" wrote:

http://www.xbitlabs.com/news/video/d...302053643.html

ATI Set to Acquire XGI Technologies - Claim [UPDATED 2].
ATI Plans to Buy Graphics Chip Maker XGI



by Anton Shilov

[ 03/02/2006 | 05:37 AM ]

UPDATE 2: ATI Technologies officials decline to comment.

ATI Technologies, a major supplier of graphics and multimedia
processors for personal computers and multimedia applications who
recently announced plans to accelerate its acquisitions, may be
targeting to buy a minor player of the graphics chip market, XGI
Technologies.

Chinese-language web-site HardSpell has reported that ATI will shortly
announce acquisition of XGI, a Taiwan-based graphics chip designer,
which was a spin-off from Silicon Integrated Systems originally. The
web-site claims that the acquisition is to be announced Friday, the 3rd
of March. Some other unofficial reports also claim about the intention
of ATI to take over XGI.

This is not the first time when ATI is rumoured to acquire XGI. Back in
2004 such information was denied by both companies and the acquisition
was proclaimed to be unreasonable by analysts. Moreover, the
acquisition of XGI would not be consistent with the take over strategy
of ATI, who has been acquiring companies in the consumer electronics
fields in the recent years.

In 2004 the price that ATI would pay for XGI was $75 million, but since
then XGI has not launched any products competitive in the mass market,
though, has managed to release several chips that were adopted in
several niche markets.

Recently Nvidia Corp., ATI's arch-rival, acquired Uli Electronics, a
struggling chipset designer from Taiwan to boost its presence in Asia
and get some valuable technologies. A reason for ATI to take over XGI
could be similar.

ATI Technologies director of public relations Chris Evenden declined to
comment on the acquisition of XGI. He said ATI was "not commenting on
such rumours".

XGI Technologies could not be reached for comment.


NO rumor they just did
http://ir.ati.com/phoenix.zhtml?c=10...595&highlight=

Yep, and ATi only spent $3.5-4 million, chomp change in this day and age,
where Google spent $1 billion to acquire 5% of AOL.

--
"War is the continuation of politics by other means.
It can therefore be said that politics is war without
bloodshed while war is politics with bloodshed."

"bandit" wrote in message
...
NO rumor they just did
http://ir.ati.com/phoenix.zhtml?c=10...595&highlight=