AMD Share Prices Spike Amidst Microsoft Buyout Rumor

The rumor that just won't die seems to be doing AMD some good.

AMD’s stock price saw a heavy rise in its trading prices in the wake of the renewed rumor that Microsoft is interested in buying the troubled chipmaker out. AMD has had severe financial issues in recent years, as in spite of its prominence in the gaming industry thanks to its chipsets powering all three current generation consoles, its products have largely failed to sell directly to the market, trailing behind rivals Intel and Nvidia.

The rumor caused AMD’s share price to close at $2.01 per share last week, a nearly 10% hike. It’s still a far cry from its year high of $4.11 last year, but it’s an impressive spike for a troubled stock.

Microsoft, who have recently diversified into hardware such as their own smartphones and tablets, will doubtless find AMD to be valuable to their overall plans, as they could design better, more efficient chips suited to their products and demands with some of the best talent in the industry. This would also cause them to get licensing money from the sale of every single PS4 and Wii U- filling up their coffers even more.

Whether or not there is any truth to these rumors remains to be seen. For now, though, AMD is doubtless enjoying the uptick in their stock trading.

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