AMD Sells Remaining Stake in Globalfoundries

From X-bit Labs: Globalfoundries has announced it has agreed to terms with Advanced Micro Devices to acquire the remaining stake in Globalfoundries, fulfilling the company's long-term vision of becoming an independent contract maker of semiconductors. AMD and Globalfoundries also signed a new wafer supply agreement, which defines pricing and volumes of chips that GF makes for the chip designer.

The agreement, part of an amendment to the commercial wafer supply agreement (WSA) with AMD, positions Globalfoundries as a pure-play, semiconductor foundry company with AMD as one of its primary and strategic customers. Globalfoundries will now be wholly owned by the Advanced Technology Investment Company (ATIC).

"Today marks the start of a new era for Globalfoundries as it becomes a truly independent foundry. Globalfoundries has a clear vision to be the leading semiconductor foundry partner to AMD and one of the world's top technology companies. We continue to execute on our strategy to propel ATIC's long-term investment philosophy into true value creation for our shareholder and customers," Ajit Manocha, chief executive officer of Globalfoundries.

The acquisition of shares is part of a revised WSA for 2012 between Globalfoundries and AMD aimed at strengthening their strategic business partnership and commitment to delivering leading-edge technology solutions.

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