Microsoft Said to Adopt AMD Chips for Next Xbox Console - Bloomberg

Microsoft Corp. (MSFT) will use an Advanced Micro Devices Inc. (AMD) processor in its next Xbox game console as it seeks to cut the cost of building machines and get developers to create more titles, people with knowledge of the matter said. AMD surged the most in almost two years.

The Xbox will use an AMD system-on-a-chip that combines powerful “Jaguar” central processing units with graphics chips, said one of the people, who sought anonymity because the plans aren’t public. The shift to the so-called x86 format ubiquitous in modern personal computers means Microsoft will drop the Power PC technology designed by International Business Machines Corp. (IBM), and game discs made for the current Xbox 360 won’t be compatible.

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Pandamobile2482d ago

Poor Nvidia, they're only swimming in the cash that rolls in from desktop and mobile GPU divisions, lol.

If AMD hadn't scored all of the console deals, they'd be in a world of hurt, whereas the only thing that Nvidia misses out on is a bit of extra profit.

BitbyDeath2482d ago (Edited 2482d ago )

They must be hurting a bit considering all the crying they did a week or two ago.

jukins2482d ago

haha they're not "rolling" in the cash. they're high end graphics cards are a niche market believe it or not. and as for the mobile gpu division haha samsung/qualcom say hi. nvidia, while stable for now, has been on a downhill roll for the past few years just like amd, just not as bad.

nvidia really isnt in a place where they can "miss extra profit" as you say. they're projections have fallen short quarter after quarter for a few years. I dont know any chip maker who wouldnt want to potentially sell upwards of 150+million chips along with the branding that comes with powering consoles.

SilentNegotiator2482d ago (Edited 2482d ago )

Yeah, Nvidia doesn't care about missing out on profit just because it's a little more thin than they tried to demand.


Seriously, convinced yourself yet? No company loses 3 massive business partners and goes "lol, who cares?" like some of their fans.

Pandamobile2482d ago

They didn't "lose", they opted out.

Personally, I'm glad they did considering that could have been one of the final nails in AMD's coffin. Poor bastards lost over a billion dollars last year.

iamgoatman2482d ago

Get with the times Panda! It's now cool to hate Nvidia, and remember a couple of statements, although stating the obvious but still no less true, now constitutes as "crying" or being "butthurt". You know how the sheep on this site work.

M-M2482d ago


Talk about missing the point.

SilentNegotiator2482d ago (Edited 2482d ago )

"They didn't "lose", they opted out"

They couldn't negotiate a deal to continue with 3 major clients. The completely fell out of the game console industry.

That is a loss, regardless of whether they claim to have been the ones to decide to not finalize a deal. They broke up with me, I broke up with them...doesn't matter, you lost a partner.

N4g_null2482d ago

The 8 gig ram design is done already. Ms only has to pay for it. Sony may have signed a deal for it to not come out on the pc side but they may have forgotten about the Xbox. Only amd has a patient on the design which is why they are pushing HSA and not Sony.

nix2482d ago

i think i've seen it all... Nvidia and AMD fanboyz. like really????? O:

Pandamobile2481d ago

Nobody here gave two craps about Nvidia and AMD until it was announced that AMD would produce the PS4's APU, and then Nvidia said the PS4's APU was comparable to a mid-range PC CPU or something.

Somehow N4G interprets that as Nvidia "crying".

Saigon2481d ago

Well, there it goes...its official. Now the other issue I saw was in the first paragraph, or was it the second. We all speculated whether or not the Next Xbox would be compatible with the previous and it looks like its not. Both Next Generation Consoles look to start from scratch. Man this is going to be interesting, when the rest of the gaming world finds out about this. Can't wait for E3.

nukeitall2481d ago (Edited 2481d ago )

There is a reason why Nvidia operates at a profit, while AMD is well close to being un-investable!

I love consoles, but reality is that Nvidia has closely chosen it's business wisely. After 7-years and only $500 million on the PS3 for nvidia, that is hardly enough to put skilled engineers on the task, when they could be building that $500 million profit *yearly* product.

I know all you "fans" don't want to hear that, because it hurts your feelings, but AMD is in this, because AMD *needs* the business, not because they necessarily wants it.

geassdanny2481d ago

Expect more cry baby news from Nvidia soon!

SephirothX212481d ago (Edited 2481d ago )

AMD are over 100 million in debt whereas Nvidia is booming.

Yeah they're butthurt all right.

givemeshelter2481d ago (Edited 2481d ago )

Actually Nvidia has won very little Mobile GPU contracts with the Tegra 3. If they did not score the design win for the Nexus 7, they pretty much would have been non existent in the mobile realm. The majority of the mobile devices rocking the Tegra Line of GPU's is minimal and those phones sold less the most. Here's hoping the Tegra 4 meets expectations in sales and performance unlike the Tegra 2, and Tegra 3 SOC that failed to wow in performance.
Saying that, Nvidia is doing extremely well financially compared to AMD.
It's just their Mobile Solutions are real mediocre for Tablets and Phones.
Tegra 4 I am hoping kicks ass

ProjectVulcan2481d ago (Edited 2481d ago )

Nvidia is a very profitable company with cash reserves, AMD is a company teetering on major debt and struggling to find revenues against harsh competition from Intel and Nvidia.

Nvidia record profit and growth year on year:


AMD cashflow problems and downrating of debt by ratings companies.

I am quite sure Nvidia wouldn't mind creating a part for a console if the price was right. But knowing their current situation and AMD's I don't know why anyone would think Nvidia are in any trouble missing out on a console contract.

AMD need it badly, even on wafer thin margins.

Dee_912481d ago (Edited 2481d ago )

I just went PC/ Laptop shopping (browsing)while I was out.
60% had Amd Hardware 35% had intel hardware give or take. I saw 1 with nvidia out of 3 stores.Walmart Best Buy & Staples.I think your talking out your rear end sir.
Either that or they are rolling in old money because right now I cant find a Laptop or PC ( in store ) with nvidia hardware if I tried.
If your not selling well overrall then sell a little more than average ofcourse your gonna see profits.Same for AMD just vice versa.

ProjectVulcan2481d ago

Nvidia's markets are more desktop parts with OEMs and they have grown because of their mobile penetration and workstation business. Not to mention Nvidia landing major supercomputer contracts for hundreds of thousands of dollars worth of Teslas at a time. Like this recently for example.

But anyway, more about the consoles-

The leaks since like November last year had the next xbox down as the same CPU inside PS4, a Jaguar 8 core, but with a lesser GPU (2/3 the performance of PS4) and some additional coprocessor bits and pieces thrown in.

PS4 would be quite a bit more powerful if this is really true.

sikbeta2481d ago

Look at that reply, you really invested on Nvidia stocks, nevermind you sure are one of those elitists who pay 1000 US a month to change teh graphicz cardz, dat rig yo! XD


Thanks for the info we all know for Months already e_e

RumbleFish2481d ago

Nvidia can't be so poor, they get lots of my money every year because their GPUs really rock my house! ;)

Gamer19822481d ago

Nvidia make a LOT of money these days from graphics chips in mobile phones more than graphics cards. Consoles would have been a massive coup for them but it wasn't to be. AMD will be happy for this move.

Ritsujun2481d ago

That's why nVitch's so mad.

hiredhelp2481d ago

AMD did loose alot of money last year but mainly from there Processor market.
Unlike Nvidia AMD has been around alot longer and handles alot more than GPU chips oh btw the GPU was the strongest in sales I beleave to there CPUs because of Intel.
I think AMD gonna start to shine again, backing all consoles Nintendo Microsoft and Sony is only gonna be very profitable while still doing what they do best video cards baby.

+ Show (21) more repliesLast reply 2481d ago
zeal0us2482d ago

Nvidia have itself to blame.

N4g_null2482d ago

For profits in the pc market.

sikbeta2481d ago

Nvidia is rich as s#*t, the hell are you talking about!? you do realise there are people out there paying ONE THOUSAND US DOLLARS for the latest graphic card? ... gotta impress the other nerds on the interwebz lol

B-radical2482d ago

This just in.......17hrs ago

Dan ‏@superDaE 17h
@listens2music Xbox Next will most likely have backwards compatibility.

ILive2482d ago

Dude, give it up already.

NYC_Gamer2482d ago

AMD needed these console deals a lot more..AMD is on the slide and taking beatings from both Intel[cpu] and Nvidia[gpu] in the market..

shutUpAndTakeMyMoney2482d ago (Edited 2482d ago )

You do realize Nvidia only made 500 million over 7 years with ps3? Nvidia made 1.2 billion in feb 2013 .

poor Nvidia indeed.

I am pretty sure they will beat 500 million this year in profit.

The worst cpu company making the best console nice..

Why is it that sony comes to Nvidia and nvidia says kick rock then they go amd and u say poor Nvidia?

How does this make sense?

"Nvidia turned down chance to build PS4 components"

No lie though this will help amd not go out of business.

Also high end gpus are not only for games. Ever heard of movies? super computers? finding a cure for cancer? Science? Medical field? Yeah they dominate these fields.. Video games is not all there is they are doing a lot and my not want to make a tablet chip for ps4 so amd makes a tablet chips for ps4. Now brag about the tablet console.

Still getting ps4 though. Just sayin I think Nvidia will be ok like they have been for the past years.

Sony going for #1 again and amd going for #2 again.

WUTCHUGUNNADO2482d ago (Edited 2482d ago )

Bad news for physx support though... most likely to remain a tacked on extra considering Havok will most likely take off on the AMD consoles. Not to mention console ports would be heavily optimized for AMD products with the usual devs marketing Nvidia on PC which would require a $500-$1000 GPU to max out. Not to say Nvidia would have any problems considering their on the ball when it comes to driver support but usually all the games marketing Nvidia require their top of the line equipment in order to max it out on release.

B-radical2482d ago

Physx would of been able to add alot of extras to gameplay if nvidia did support one of the consoles but like you said i think nvidia will do just find i myself am waiting for 700 series am currently running a 560 ti figure ill wait every 2 gen

OlgerO2482d ago

Yeah those poor Nvidia executives with their million dollar salaries, it seems they might not get their bonus this year. Im weeping for those poor souls.

Blaze9292481d ago

Nvidia is far from poor and will continue to flourish...let us all not pretend like the company hasn't been the juggernaut company it has been for these past 10 years.

Welshy2481d ago

Nvidia vs AMD.

The new tedious and unnecessary fanboy war to tide us over until the NextBox is announced...

Irishguy952481d ago (Edited 2481d ago )

It's hardly new/

Console fans have only found out about it and joined Amd because Nvidia didn't want a crappy business deal with Sony

Edit - Yes Welsh, I lie on the side that doesn't lie with fanboys.

Welshy2481d ago

I'd say it more played second fiddle to the PS3 vs 360 loyalists and it's only come to light because there is no other Xbox to fight the PS4 at the moment.

And as i said, it's not needed (the PC or Console "wars").

And it's pretty clear to see even from my neutral angle what side of the fence you sit and why you only have 1 bubble =)

Gorilla_Killa_X2481d ago

Let's act like console makers don't put out anything for companies to bid on like most other companies do. Sony turned down Nvdia's bid not the other way around.

imchuckbass2481d ago

Even if there were 4 consoles using AMD chips, AMD's earnings still wouldn't touch Nvidia's

Console chips are very cheap parts compared to what Nvidia sells for supercomputers

AMD are in crisis (stock price has been plummeting badly since last year), they needed these contracts, and I'm glad they got them, because competition is good. But be under no illusion, Nvidia are by far still the market leader.

TXIDarkAvenger2481d ago

It's not poor Nvidia.

Obviously MS would go AMD, its a no-brainer. Nvidia is proven to be better but AMD is a lot cheaper. MS and Sony don't want expensive consoles like last gen with the 360 and PS3. Nvidia is literally rolling in cash, this doesn't effect them much.

fermcr2481d ago (Edited 2481d ago )

Yes, poor Nvidia. /s

They make graphics cards from low end to high end PC's, laptop graphics, motherboard chipsets, smartphone chipsets (Tegra) that sell millions and millions every year...

They have revenues in the order of billions every year...

Yes, you are absolutely right... poor Nvidia. /s

People should really put something in their head... Microsoft, Sony and Nintendo didn't go with AMD CPU/GPU because they are better, but because they were cheaper.

+ Show (8) more repliesLast reply 2481d ago
nick3092482d ago

I guess thats why nvidia decided to release project shield

theDECAY2482d ago

Seems a little gimicky to me.

IcicleTrepan2482d ago

This is because they are trying to push their TEGRA chipset for mobile. From what I understand the TEGRA line is doing quite well.

geassdanny2481d ago

Tegra chips, providing your advanced mobile gaming needs whilst you on the crapper.

chukamachine2481d ago (Edited 2481d ago )

Project fail.

Waste of time imo.

As for 720/PS4.

What has the games you want!

Services are everywhere now, The smart TV's have them and there are more coming.

Theo11302482d ago

So if the next xbox has 8gigs of Gddr5 ram, it will basically be the same system as the ps4.

omi25p2482d ago (Edited 2482d ago )

Yeah the 720 will still be cheaper.

kneon2482d ago

The 720 likely will be cheaper because it has to be to appeal to their target market. But as all the signs point to it having at least a simple Kinect built in they will have to cut some corners somewhere.

It's unlikely that the 720 will have more horsepower than the PS4, it just doesn't make sense for them to do that.

geassdanny2481d ago Show
GraveLord2482d ago

That's impossible. The entire system was already designed around the limitations of DDR3 memory.

Using GDDR5 memory is a MAJOR change that would require redesigning the entire motherboard. Could they do it? YES, but they won't because it means huge launch delay.

GribbleGrunger2482d ago (Edited 2482d ago )

It entirely depends on what changes Microsoft and Sony have asked AMD to make to their GPUs and how that power is used by the console. As for this article ... I'd say it could be true that MS are not too worried about what Sony have to offer because it's looking more and more likely that MS are going for a different market. I'll wager that once the initial launch is over, you'll see far more exclusive titles from Sony than even in THIS generation. Expect a Windows 8, Kinect driven TV set-top box that plays multiplatform games; whilst the PS4 will be foremost a gaming console that ALSO offers multimedia capabilities.

M-M2482d ago

More or less, but it's highly unlikely that the next Xbox will have GDDR5 ram(based on rumors).

GamersRulz2482d ago

No, because the GPU in PS4 is more capable than the rumored X720 GPU

PS4 1.84Tflops VS Xbox720 1.24Tflops GPU.

So basically:

PS4 CPU = X720 CPU

PS4 GPU >> X720 GPU

PS4 RAM >> X720 RAM

PS4 is a monster really.

iamgoatman2481d ago

And you know the specs of the next Xbox's GPU, how exactly?

Oh that's right, you don't.

"PS4 is a monster really."

It really isn't. Previous generations of consoles have been able to go toe to toe with then high end PC hardware, if only for a very brief time. But when the PS4 and likely the next Xbox release, they'll already be behind. Hell, their specs are comparable to mid-range hardware TODAY, let alone 7-8 months from now.

And before anyone pipes in with 'but the optimization!' remember the 8800GT. Released soon after the current gen of consoles, and despite 6 years of optimizing and simply getting used to the hardware, they've not produced anything that GPU couldn't produce at even higher levels of fidelity. To put it into perspective, we've had that level of hardware difference around since last year.

The PS4's hardware is of course a nice step up to the ancient stuff we've been stuck with for so many years, but it's hardly "monstrous".

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Martywren2482d ago

I hope MS dont forget there hardcore fanbase, im looking forward too hearing wat MS going too reveal.