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Forums - Microsoft - Former AMD exec: Xbox One APU project worth over $3 billion

Kasz216 on 28 May 2013
VGKing said:
Great deal. I imagine the Sony deal is similarly priced.

Wasn't R&D for the Cell processor alone in the Billions of dollars? LOL


I'd guess there is actually little chance of that.  He's probably talking about if the Xbone pays off as a living room hub instead of a games console.

Intel got a lot less for the cell, and they could ask more.



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Kasz216 on 28 May 2013
kitler53 said:
zarx said:
3+ years of R&D and 7+ years of royalties with MS projecting 30%+ higher sales over this generation. Yup $3b sounds about right, if not a little on the low side. Not really gonna mean much for AMD's bottom line tho sadly.


i couldn't quite figure the article out exactly.  is MS on the hook for $3B?  ..as in if by some change xbone sells 10 units total do they still owe AMD the 3B?  or is the $3B based on sales projections?


It's not explicit, but i'd guess it's a projection since he says it "could" be worth 3 Billion.

I'd bet he's talking about the possibility of Xbone being in a ton of non gamer living rooms.



Kasz216 on 28 May 2013
tres said:
Adinnieken said:
tres said:
amd probably gave microsoft shit apu lol.. it was funny considering how they were talking up the ps4 chip. microsoft wouldve did better going the arrogant nvidia route and one upping sony with dx 12.

Your post is completely ignorant of the fact that both AMD and Microsoft share a long relationship.  Microsoft wrote support for the AMD x64 CPUs long before anyone else did.  They've maintained a close relationship on DirectX for a number of years.  I don't think AMD is going to piss on their relationship with Microsoft.

The Xbox 360 had an engineered CPU and GPU.  Both were highly specialized.  Neither was off the shelf.  The highly specialized nature of both allowed the Xbox 360 provide the same level of performance as the unquestionably supperior in raw power PS3. 

The Xbox One CPU and GPU I don't doubt are less specialized than the Xbox 360's.  Based on what we've learned so far, especially during the Architectural panel for the Xbox One, it is an extremely specialized CPU/GPU.  It'll be interesting to find out just how much.

That came about because of their relationship. 

if your girlfriend or boyfriend was bragging on how sexy your neighbor was  would you question your relationship? lol


Have they bragged since the Xbone has been announced?  The Xbone could of been 10X as powerful as the PS4 chip and they would of said the exact same things they did about the PS4 until the Xbone was announced.



tres on 28 May 2013
Kasz216 said:
tres said:

if your girlfriend or boyfriend was bragging on how sexy your neighbor was  would you question your relationship? lol


Have they bragged since the Xbone has been announced?  The Xbone could of been 10X as powerful as the PS4 chip and they would of said the exact same things they did about the PS4 until the Xbone was announcet

difference is they praise ps4 with the one it was more like yeah we gave them a chip move on nothing to see here

~

Edit: Quote tree shortened by TruckOSaurus - Please refer to this post for Quote Tree Guidelines http://gamrconnect.vgchartz.com/post.php?id=5379187



VGKing on 28 May 2013
kowenicki said:

why cant people understand this? Its basic.

it doesn't mean ms paid $3bn or owes $3bn

it means the deal to provide it could be worth $3bn to the company.

it is entirely dependent on sales of the new consoles.

 

The deal is valued at 3bn over multiple years.

Hasn't Microsoft said they expect to sell up to 1 Billion consoles? Sounds over-valued if this was based on those projections.



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nnodley on 28 May 2013
VGKing said:
kowenicki said:

why cant people understand this? Its basic.

it doesn't mean ms paid $3bn or owes $3bn

it means the deal to provide it could be worth $3bn to the company.

it is entirely dependent on sales of the new consoles.

 

The deal is valued at 3bn over multiple years.

Hasn't Microsoft said they expect to sell up to 1 Billion consoles? Sounds over-valued if this was based on those projections.

The way I read it was that they expect all three to sell a billion combined.  If that is correct, I don't see how it's possible.  I'm pretty sure it's only estimated around 400million sold combined from all 3 by some people.



Scoobes on 28 May 2013

With all the talk of Xbone and cloud computing in the last few days, isn't it possible that part of this deal actually includes variants of the chip to be used in servers/datacenters for MS Azure?




Get your Portable ID!

VGKing on 28 May 2013
kowenicki said:
VGKing said:
kowenicki said:

why cant people understand this? Its basic.

it doesn't mean ms paid $3bn or owes $3bn

it means the deal to provide it could be worth $3bn to the company.

it is entirely dependent on sales of the new consoles.

 

The deal is valued at 3bn over multiple years.

Hasn't Microsoft said they expect to sell up to 1 Billion consoles? Sounds over-valued if this was based on those projections.

no they havent.  try reading things properly.

http://www.ign.com/articles/2013/05/24/microsoft-over-1-billion-next-gen-consoles-will-be-sold

I read it properly and Microsoft seems to think the entertainment focus of the console will give it an advantage and substantially increase its sales. Or do they expect the PS4 and Wii U to sell hundreds of millions of units each as well?

"We think you can go broader than a game console, that’s our aim, and you can go from 400 million to potentially upwards of a billion units."



VGKing on 28 May 2013
kowenicki said:

oh my god...

its is clearly obvious they mean a total of 1billion consoles from all contributors, not just MS.

Everyone else read it that way, but you.

So 333million XBox One, 333 million PS4s and 333 million Wii Us? You do know that is ridiculous right? There's no way they'll even come close to that.
They did mention 400m-1b though. Even the 400 in total for all 3 is unrealistic. If you go back to the Xbox 360 MTV reveal, they mentioned the 1Billion consoles sold as well. It was ridiculous then and it is ridiculous now.



VGKing on 28 May 2013
kowenicki said:
VGKing said:
kowenicki said:

oh my god...

its is clearly obvious they mean a total of 1billion consoles from all contributors, not just MS.

Everyone else read it that way, but you.

So 333million XBox One, 333 million PS4s and 333 million Wii Us? You do know that is ridiculous right? There's no way they'll even come close to that.
They did mention 400m-1b though. Even the 400 in total for all 3 is unrealistic. If you go back to the Xbox 360 MTV reveal, they mentioned the 1Billion consoles sold as well. It was ridiculous then and it is ridiculous now.

yeah we get it.

everything ms does and says is bad and stupid.

a mssive portion of your posts are in ms threads downplaying, calling out or deflecting.  why bother?

So you seriously expect 400million to 1billion consoles to be sold next-gen?