Rumors suggest that AMD may license its Radeon GPUs to Intel for use in high performance computing and desktops.
AMD's License Deal With Intel
According to Extreme Tech, Kyle Bennet wrote on HardOCP forum that the licensing deal between Intel and AMD is already signed. The aim of the deal is "putting AMD GPU tech into Intel's iGPU." This, if it is true, would represent a huge shift from the status quo. However, it could well be true, for several reasons.
One of the reasons that make this rumor plausible is the fact that the $1.5 billion license agreement between Nvidia and Intel is drawing to a close and there are no signs that the deal will be renewed. Intel announced that its future GPUs would be FreeSync-compatible. This would be different to licensing G-Sync technology from Nvidia and would represent a step towards AMD's technology.
According to Digital Trends, the world of graphical processing units (GPUs) is segregated today between dedicated GPUs from Nvidia and AMD on the high end and Intel integrated graphics on the low end. Intel graphics are intended for running basic apps such as the operating system, most casual games and productivity apps. Dedicated GPUs are intended for professional video editing and any kind of serious gaming.
By going with a machine with Intel integrated graphics, users can buy a notebook with less heat and longer battery life. Gamers can choose one with a dedicated GPU if they want to game on the go. There are even available on the market some notebooks that switches between them based on the task at hand. But, as Forbes reports, this segregation on the market could change if Intel would be licensing AMD's Radeon Graphics technology for use in its own GPUs.
Potential Consequences Of The License Deal
An eventual license agreement that would involve Intel using AMD GPU technology in its integrated graphics would have a strong impact on the GPU market. Intel's integrated graphics are already far more competitive at the low end of the market then when they were first introduced. If they get too much faster, then they would have an impact on the market for high-end dedicated GPUs, particularly in notebooks.
Even if a user may not be happy with the performance level of Intel's integrated GPUs, he still might not need all of the power and cost that dedicated GPUs represent. A licensing agreement with AMD could also have a significant impact on the market for low-end dedicated GPUs such as the GeForce GTX 1050 line from Nvidia.
This license deal could play out on market in several ways. The simplest option with the smallest upside for AMD is that Intel continues to develop its own graphics hardware. A more intriguing option would be if AMD will build a custom GPU for Intel.
For the moment, this is all pure speculation. We have to wait until Intel and AMD make an official announcement. Until then, all we can do is to keep wondering if one day we'll be able to buy a cheap notebook with graphics that are just good enough.
