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kowenicki said:
What happens if Sony and MS select AMD and then AMD goes bust?

Nothing. Sony and MS only have AMD create the original chip and then they hire other companies to mass produce it as they then own the rights to the chip.

This is why Nvidia is saying it wasn't worth the cost. They don't get a whole lot of long-term revenue beyond the small possibility of royalties.

AMD is probably looking at this as a possibility for major marketing and in return bump up their PC APU and GPU sales in the long run. They certianly are not going to be making millions and billions off of MSony and their consoles.