SUNNYVALE, Calif.—Chipmaker Advanced Micro Devices Inc. is set to scoop up graphics card specialist ATI Technologies Inc. for around $5.4 billion, putting ATI’s long-standing relationship with Intel Corp. and graphics-developer Nvidia at risk since a combined ATI and AMD would be able to offer integrated solutions of their own to device manufacturers.
In the past, ATI has preferred Intel’s platform.
News of the acquisition sent ATI’s stock price soaring during morning trading, up $2.79 to $19.31 per share, while shares of AMD fell $1.07 to $17.23 per share.
