AMD Spins Off Graphics Division Into Radeon Technology Group

AMD has spun off its graphics chip division into a separate business called Radeon Technology Group. The move comes nine years after the company bought graphics unit mammoth ATI in 2006. The California-based semiconductor company said that the split doesn’t have an impact on its financials.

The company says that the separation would foster gaming and virtual reality opportunities at the graphics division. In a blog post, the company’s CEO Lisa Su announced that long-time ATI and AMDgraphics head Raja Koduri will be heading the new graphics division. Koduri will be promoted to Radeon Technology Group’s Senior Vice President and Chief Architect.

“With the creation of the Radeon Technologies Group we are putting in place a more agile, vertically-integrated graphics organisation focused on solidifying our position as the graphics industry leader, recapturing profitable share across traditional graphics markets, and staking leadership positions in new markets such as virtual and augmented reality,” Su said in a statement.


“AMD is one of the few companies with the engineering talent and IP to make emerging immersive computing opportunities a reality,” said Koduri. “Now, with the Radeon Technologies Group, we have a dedicated team focused on growing our business as we create a unique environment for the best and brightest minds in graphics to be a part of the team re-defining the industry.”

AMD bought ATI in 2006 for a whopping sum of $5.4 billion. Apart from making AMD Radeon graphics cards and integrated GPUs, the company utilised ATI expertise to create all-in-one APU chips that could handle both graphics and processing. The technology has seen decent adoption, most notably in the Xbox One and the PlayStation 4 gaming consoles, but has struggled in the consumer market. The spin-off also raises the possibility that AMD plans to sell off its graphics units division. Engadget points out that there is also a rumour that Radeon division might score some private equity.