Advanced Micro Devices, Inc. (NASDAQ:AMD) is in the spotlight today due to Apple Inc. (NASDAQ:AAPL) announcing that it will drop the use of Imagination Technologies’ IP in 15-24 months. Instead of using Imagination’s services, Apple has implied that it might use its own in-house graphics technology. The news is relevant to AMD because some traders fear Apple could eventually do the same for GPUs in MACs and potentially cost AMD market share.
With that being the case, Advanced Micro Devices, Inc. (NASDAQ:AMD) shares are actually modestly in the green today as the market apparently isn’t too concerned about the possibility. Many traders still believe the odds of such event to be low. As it currently stands, AMD and Nvidia laptop GPUs are still top-tier.
What Does The Smart Money Sentiment Say?
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According to our data, hedge fund sentiment around AMD was mixed in the fourth quarter. Although the number of elite funds holding shares fell by 15 quarter-over-quarter to 32, the amount held increased to $857.62 million from $644.56 million. Kenneth Tropin‘s Graham Capital Management was one of the bulls, increasing its stake by 305% to 40.5 million shares.
The Bottom Line
Traders are watching Advanced Micro Devices, Inc. (NASDAQ:AMD) after Apple Inc. (NASDAQ:AAPL) showed some of its muscle, announcing that it will eventually in-house certain services it currently derives from Imagination Technologies. For those of you interested, also check out, the 7 Best Nanotechnology Engineering Schools in the World.