Mon Sep 16 15:14:33 UTC 2024: ## Intel Loses Out to AMD in Bid for PlayStation 6 Processor Design
**San Francisco, CA** – In a major blow to Intel’s fledgling foundry business, AMD has reportedly secured the contract to design and manufacture processors for the upcoming PlayStation 6. According to sources cited by Reuters, Intel was a finalist for the deal, but ultimately lost out to AMD due to its high profit margin demands.
The contract, valued at an estimated $30 billion, would have provided a significant boost to Intel’s foundry division, known as Intel Foundry. Winning the deal could have helped the company stabilize its business during a period of restructuring and layoffs. However, Intel’s insistence on higher profit margins, despite the massive volume of consoles Sony sells, reportedly alienated the gaming giant.
“Intel strongly disagrees with this characterization,” said an Intel spokesperson, declining to comment further on the matter. AMD and Sony have not responded to requests for comment.
The PlayStation 6 is not expected to launch until 2027, and the PlayStation 5 Pro, released just last week, is set to be powered by AMD’s processor architecture. This deal signifies a continued partnership between AMD and Sony and represents a significant win for both companies, securing a steady stream of revenue for years to come.
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