Former exec: AMD's Xbox One deal is worth ''$3+'' billion


— 9:00 AM on May 28, 2013

Last week, Microsoft confirmed that the next-gen Xbox is powered by a custom AMD APU. Now, a former AMD executive has given us an idea of just how much AMD's partnership with Microsoft is worth.

As GameSpot reports, the information is hidden away on the LinkedIn page of Bob Feldstein, AMD's former VP of Strategic Development. Feldstein is now Nvidia's current VP of Technology Licensing, and his LinkedIn resumé says the following under the "Projects" section:

XBox One
Team Members: Bob Feldstein, Ben Allen, Shaun Moore

AMD provided a custom silicon solution to Microsoft for the XBox One, a game console and entertainment device. My involvement was focused on business management and supply agreement negotiations. This required the coordination of multiple functional teams within AMD, as well as regular customer meetings with leadership teams responsible for handling the chanllenges of complex, muti-year deals. This project is valued at $3+B

(Emphasis ours.)

Three billion bucks—or more—is a lot of money for a company that's been hemorrhaging cash quarter after quarter. Not only that, but we all know the PlayStation 4 is also powered by a custom AMD APU. One could reasonably expect the chipmaker's deal with Sony to be in the same ballpark.

No wonder AMD's top brass is promising a return to profitability in the second half of this year—that's when the next-gen consoles are due to hit stores.

   
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