Wednesday, August 30th 2017
AMD Settles in "Llano" Investor Lawsuit by Coughing up $29.5M
AMD Tuesday agreed to settle in its longstanding class-action lawsuit by investors for making misleading guidance over its first-generation accelerated processing units (APUs), codenamed "Llano." AMD was alleged to have oversold the potential of "Llano" in driving up revenues to the company, causing losses to investors. AMD is reported to have reached an agreement with the class to settle for USD $29.5 million. The settlement is yet to be approved by Judge Yvonne Gonzalez Rogers, who has been hearing the case since 2014, sitting in session for the US District Court in Oakland, California. Under the proposed deal, AMD's insurers foot the bill for the settlement, while it continues to deny any wrongdoing.
Source:
The Register
21 Comments on AMD Settles in "Llano" Investor Lawsuit by Coughing up $29.5M
Trinity and Richland and upwards were better, which is a natural thing but still. Llano was horrible and overly hyped in the market.
At least now AMD aren't over hyping their future APU-lineup but hopefully it will be good enough to make a mark in the market.
Yes, investing is risky but it has rules and one of those is that you can't 'mislead' the investor about how good the product is. I think some of the problem is Llano was late arriving and by that time, Sandybridge was out from Intel. Lllano may have performed where expected when conceived but on release it was underwhelming and did not meet projections.
This is why they are settling because AMD still deny they did wrong but are using the insurance to pay out.
"Computing Solutions segment revenue increased 6 percent sequentially and 5 percent year-over-year. Sequentially, higher mobile and server microprocessor revenues were partially offset by lower desktop revenue. The year-over-year increase was primarily driven by higher mobile processor and chipset revenue."
"Leading notebook manufacturers including Acer, ASUS, Dell, HP, Lenovo, Samsung and Toshiba continued to increase global availability of their notebook platforms based on the AMD A-Series APUs, bringing brilliant HD graphics and up to 10.5 hours of battery life3 to users worldwide."
So AMD claims their increased revenue came from mobile processing, which at the time was Llano and Bobcat APUs. I'm sure AMD made the mistake of over promising, but from the quarterly reports it looks like they ended up positive still.
More directly relates to the topic. AMD was reporting income from Llano to the point of profitability despite supply.
Edit: That does bring up the idea that AMD was selling something they didn't have, and reported 'sold' inventory in their quarterly that didn't yet exist.
That was the best part about llano. You could clock it up 7-800 MHz and still undervolt the core. At least on mobile. And you could force ultra low clocks for insane battery life.
Intel is no saint and has lied, stolen and cheated numerous times.
We all know intel is the big bad wolf, but its the one without grandmas desguise. ;)