AMD Was On Verge of Bankruptcy But PS4 Saved It

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AMD Says PS4 Saved It From Going Bankrupt!

Story Highlight
  • AMD is currently the market leader when it comes to CPUs.
  • This company almost went bankrupt a decade ago, but the PS4 saved it.
  • Following the PS4’s launch, AMD excelled in the PC market, thanks to the Ryzen CPUs and RDNA GPUs.

AMD has always been among the leading companies in gaming products such as PCs, consoles, and more. The latest products from this company are incredibly popular, but this was not the case a few years back.

As AMD’s business lead states, the business was on the verge of extinction at one point. According to his LinkedIn profile, Sony’s PS4 helped the company survive this difficult period.

Why it matters: AMD’s position has completely shifted today. It leads the CPU market and continues to offer GPUs to PlayStation and Xbox consoles.

AMD Bankrupt PlayStation
An Engineer Says AMD Almost Went Bankrupt | Image via Twitter

This information comes from Renato Fragale, who highlighted that AMD worked with Sony to develop the PS4. Things were so bad at one point that the company was expected to go bankrupt by 2020. Its revenue also nosedived by 10% in 2015, highlighting the dire situation.

Fortunately, the PS4 launched in 2013 and sold over 100 million units by the end of its run. This, along with the new products in the Zen and RDNA lineups, helped AMD bounce back.

It is also important to note that AMD provided SOCs for Xbox One consoles. This hardware sold over 50 million units, and while the profits weren’t particularly mind-blowing from either side, the sheer volume of sales helped the company.

AMD
AMD Is Set To Release New CPUs This Year

The company is doing quite well today. Its Ryzen CPUs are a great fit for PC gaming, while the RDNA GPUs have found a large audience. Meanwhile, AMD also supplies SoCs for top-tier handhelds like the Steam Deck OLED and Asus ROG Ally.

Sony’s upcoming PS5 Pro is also said to utilize an AMD APU. The two will likely continue to partner for the foreseeable future, propelling both companies to new heights.

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