Xbox One, PS4 Are Holding AMD Up in Terms of Sales!
While AMD is one of the two major worldwide semiconductor companies – the other being Nvidia – looking into recent statistics of their sales based on what we know so far suggests that they might actually be profiting more from the unexpected gaming consoles section as compared to their usual market of PCs.
Let’s break down things and look at them one by one. The company has reported profits of $1.04 billion in the third quarter and $954 million in the fourth quarter.
Now lets see how much of these can be attributed to PS4 and Xbox One since both these consoles come packing AMD CPUs and GPUs.
It is a commonplace assumption that the company makes about $80 for every console that is sold by Sony or Microsoft due to their hardware that is used in them.
We also know that the sales of PS4 have reached around 36 million in the holiday season up from 30.2 in November. This would mean that AMD has generated about $456 million from PS4 sales. Moving on, it is also known (albeit unconfirmed) that Microsoft sold half as many consoles as Sony which would mean the company made about $228 million from Xbox One CPUs and GPUs.
Add those up and you get something to the tunes of $684 million which has been generated solely from the gaming consoles. Now compare this with the total revenues that they have reported in the last two quarters and you will be surprised to see that the sales they are generating from these consoles are all what is keeping them up there.
Probably this is also the reason why AMD is not too hasty about launching Zen.
This article is based on speculation and some facts but do tell us what you think.
Being the Managing Editor of TechFrag, Sarmad splits his time between keeping up with latest news, technology, gaming and other awesome things like unearthing the merits of staying up at night and Californication!