Intel alleges that AMD broke the terms of the x86 cross-licensing agreement by spinning off its manufacturing division into Globalfoundries, and says if the dispute is not resolved then AMD's rights under the agreement will be terminated in 60 days. AMD will no longer be able to design or produce Intel-compatible CPUs.

Short version: AMD will die in 60 days.

This is very, very bad. If AMD cannot manufacture CPUs then they will likely cease to exist (their graphics division will likely be sold off) and Intel will have a >99% share of the desktop CPU market, i.e. a monopoly.

The dispute stems from the excat wording of the agreement. Though it is not public, it is said to forbid AMD manufacturing over a certain percentage of its processors externally. The issue is whether Globalfoundries counts as a subsidiary or not, as AMD has less than a 50% stake in the company but equal voting rights with the Abu Dhabi owned ATIC.

http://www.techreport.com/discussions.x/16585

http://www.intel.com/pressroom/archive/releases/20090316corp.htm

... link?

wow....
the death of one of my dearest friends

Sorry about that. Was meaning to, but plainly forgot.

Hmm if this is true then I am wondering what will happen to AMD chips inside the consoles like the Wii? (correct me if I am wrong not 100% on that!)

maybe nintendo will help them....LOL YEAH RIGHT

Yeah, what will happen to the Wii's/360's GPU?

that would piss me offi love amd and ati

The rights to those are probably owned by Nintendo/MS already (otherwise they can buy them), and I'd imagine that many factories can build them. I don't think that would be a big problem, although I don't know much about hardware manufacturing.

As for the OP, surprising but one would think AMD will figure out a deal?

Wow, that sucks.