Advanced Micro Devices, Inc. (NASDAQ:AMD) is trending after the chip maker announced buying intellectual property and key engineering talent from Nitero, a pioneer in millimeter wave solutions capable of enabling future generations of wireless Virtual Reality and Augmented Reality headsets. In terms of what it does, Nitero is focused on designing a millimeter wave chip to address the challenges concerning wireless augmented and virtual reality, potentially enabling multi-gigabit transmit performance with low latency in room-scale VR environments down the road.
Advanced Micro Devices, Inc. (NASDAQ:AMD) CTO Mark Papermaster said, ‘Unwieldly headset cables remain a significant barrier to drive widespread adoption of VR. Our newly acquired wireless VR technology is focused on solving this challenge, and is another example of AMD making long-term technology investments to develop high-performance computing and graphics technologies that can create more immersive computing experiences’.
Given that virtual reality/augmented reality is expected to be a major growth sector in the coming years, bulls hope that AMD can put its acquisition to good use and gain market share in that area in the future. Despite the news, shares of AMD are 3% lower in late afternoon trading due to profit taking and broader sector weakness.
What Does The Smart Money Sentiment Say?
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32 elite funds had a bullish position in Advanced Micro Devices, Inc. (NASDAQ:AMD) at the end of the fourth quarter, down 15 funds from the previous quarter. Ken Heebner‘s Capital Growth Management went the other way of the crowd, increasing its holding by 438% quarter-over-quarter to 5.38 million shares at the end of Q4.
The Bottom Line
Advanced Micro Devices, Inc. (NASDAQ:AMD) is trending after the company bought intellectual property and key engineering talent from Nitero to improve the company’s immersive computing tech portfolio. For more reading, check out ‘10 most advanced countries in information technology‘.