AMD stands to make a lot of money these next few years. If the current game system life cycles are any indication, they could be in the money for a good 10 years are more. The more PS4 and Xbox One sell the more they will make. They have the contract to build the chips that will power Sony’s next game system, the PlayStation 4 and Microsoft’s Xbox One. AMD will supply an eight-core Jaguar chipset for Microsoft’s next-generation video game console. A similar chipset will be in the PS4. How much is all this worth to AMD and it’s shareholders? A very nice sum.
Former AMD executive Bob Feldstein who now works at Nvidia gave way too much information on his LinkedIn profile than needed. Feldstein played a big part in the delivery of the custom AMD Jaguar processors to Microsoft. He revealed that the XBOX One project is worth more than $3 billion to AMD over the lifetime of the contract. Below is a snapshot captured by Gamechup.com of the details from Bob before he removed them. The PlayStation 4 processor is just a tab bit more powerful than the Xbox One. Wonder how much Sony is shelling out for that chip. Too bad Mr. Feldstein didn’t go into to detail about that contract.