Qualcomm buys AMD to strengthen its leadership position in Mobile Multimedia

It was announced that on January 19, 2009 the two companies, Qualcomm Incorporated and AMD, have signed a contract. It is regarded to Qualcomm’s purchase of certain graphics and multimedia technology assets, intellectual property and resources of AMD's handheld business. Under the terms of this contract, Qualcomm has extended offers of employment to various design and development teams who are aimed at improvement of mobile devices in such areas as 2D and 3D graphics, audio/video, display, and architecture. And so, as part of transaction, $65 million is the cash payment to AMD by Qualcomm for transfer of business assets and employees transition. 

Qualcomm is firmly convinced that this acquisition will enable to effort an opportunity to strengthen its leadership position by delivering more advanced products that will redefine the new generation mobile user experiences. It is obvious that no one should wait for great income at the very beginning, so Qualcomm is ready for $0,02 delutive to pro forma earning per one share in fiscal 2009 but the second half of 2010 is believed in appreciable income increase.