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|AMD Completes Acquisition of SeaMicro|
SUNNYVALE, CA, Mar 23, 2012 (MARKETWIRE via COMTEX) --AMD (NYSE: AMD) today announced it completed the acquisition of SeaMicro Inc., a pioneer in energy-efficient, high-bandwidth microservers, for approximately $334 million, net of cash assumed.
The acquisition of SeaMicro, which will now become AMD's Data Center Server Solutions business, enables AMD to accelerate its strategy to deliver disruptive server technology and provide its customers serving Cloud-centric data centers with highly-differentiated AMD-based solutions beginning this year.
"Our unique fabric technology is truly one of the crown jewels of the Cloud," said Lisa Su, senior vice president and general manager, Global Business Units, AMD. "The combination of this innovative technology with our processor design expertise greatly enhances our ability to attack the fastest growing portion of the server market with industry-leading low-power, low-cost, high-bandwidth solutions."
The purchase price consists of a cash payment of approximately $293 million as well as AMD's assumption of options to purchase approximately 6,475,000 AMD shares and the issuance of approximately 322,000 shares of AMD restricted stock. This transaction is included in AMD's first quarter of 2012 earnings guidance.
About AMD AMD (NYSE: AMD) is a semiconductor design innovator leading the next era of vivid digital experiences with its groundbreaking AMD Accelerated Processing Units (APUs) that power a wide range of computing devices. AMD's server computing products are focused on driving industry-leading Cloud computing and virtualization environments. AMD's superior graphics technologies are found in a variety of solutions ranging from game consoles, PCs to supercomputers. For more information, visit http://www.amd.com.
CAUTIONARY STATEMENT This release contains forward-looking statements, concerning among other things, AMD's strategic initiatives and growth opportunities; the anticipated benefits from AMD's acquisition of SeaMicro; AMD's server strategy; and the timing and functionality of planned products, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act. Forward-looking statements are commonly identified by words such as "would," "may," "expects," "believes," "plans," "intends," "projects," and other terms with similar meaning. Investors are cautioned that the forward-looking statements in this release are based on current beliefs, assumptions and expectations, speak only as of the date of this release and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Material factors and assumptions that were applied in making these forward-looking statements include, without limitation, AMD's current expectations regarding GLOBALFOUNDRIES manufacturing yields and wafer volumes and demand for its products. Risks include the possibility that Intel Corporation's pricing, marketing and rebating programs, product bundling, standard setting, new product introductions or other activities targeting the company's business may negatively impact the company's plans; the company will be unable to develop, launch and ramp new products and technologies in the volumes required by the market and at mature yields on a timely basis; that the company's third party wafer foundry suppliers will be unable to transition the company's products to advanced manufacturing process technologies in a timely and effective way or to manufacture the company's products on a timely basis in sufficient quantities and using competitive technologies; the company will be unable to obtain sufficient manufacturing capacity or components to meet demand for its products or will not fully utilize the company's projected manufacturing capacity needs at GLOBALFOUNDRIES' microprocessor manufacturing facilities in 2012 and beyond; that customers stop buying the company's products or materially reduce their operations or demand for the company's products; that the company may be unable to maintain the level of investment in research and development that is required to remain competitive; that there may be unexpected variations in market growth and demand for the company's products and technologies in light of the product mix that it may have available at any particular time or a decline in demand; that the company will require additional funding and may be unable to raise sufficient capital on favorable terms, or at all; that global business and economic conditions will not improve or will worsen; demand for computers will be lower than currently expected; and the effect of political or economic instability, domestically or internationally, on the company's sales or supply chain. Investors are urged to review in detail the risks and uncertainties in the company's Securities and Exchange Commission filings, including but not limited to the Annual Report on Form 10-K for the year ended December 31, 2011.
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Contact: Mike Silverman AMD Global Communications 512-602-3781 Email Contact Irmina Blaszczyk Investor Relations 408-749-3398 Email Contact
SOURCE: Advanced Micro Devices