AMD tosses around the idea of acquiring Ageia

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Donald Melanson
November 21st, 2007
In this article: acquisition, ageia, amd, physx
AMD tosses around the idea of acquiring Ageia
While it's apparently still quite a ways beyond the realm of possibility, Custom PC is reporting that AMD has at least tossed around the idea of acquiring Ageia, which makes the PhysX physics processing unit and corresponding PhysX software. That doesn't seem to be an entirely new development, however, with AMD's Richard Huddy saying, 'we've had that discussion, yes. It's a discussion that goes round every three months – someone turns to me and says 'why don't we buy Ageia?' and I go through the arguments about why we should and why we shouldn't.' The biggest stumbling block, not surprisingly, is price, with Intel's recent acquisition of Havok weighing heavily into the equation. That, Huddy says, gave Ageia a roughly equivalent value of $100 million, a value Huddy says is about $90 million too much. He still doesn't rule out an acquisition altogether, however, although it seems that there'll have to be a pretty big shift in valuations before AMD's interest is really piqued.
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