AMD Partners Ubisoft for Far Cry 3 - Analyst Blog

By Zacks | December 06, 2012 AAA

Advanced Micro Devices Inc. (AMD) is collaborating with Ubisoft to provide support to Far Cry 3 in the U.S. The latest chapter of the Far Cry franchise for PCs is being developed with AMD's Gaming Evolved program. Apart from the Gaming Evolved program, Ubisoft is also utilizing AMD Radeon graphics, AMD Eyefinity and AMD CrossFire technologies for Far Cry 3. The collaboration is an attempt to bring an enhanced gaming experience for PCs.

Founded in 1986, Ubisoft Entertainment S.A. is a French video game developer, publisher and distributor. It is the third largest game developer in the U.S.

AMD is leaving no stone unturned to attract gamers as it is offering a free download code for Far Cry 3 with the purchase of AMD Radeon HD 7770 GHz Edition, HD 7800 Series or HD 7900 Series GPU.

Far Cry 3 can also be played on gaming consoles such as Microsoft's (MSFT) Xbox 360, Sony's (SNE) PlayStation 3 and Nintendo's (NTDOY) Wii U. Far Cry  is one of the most popular games worldwide.

A study conducted by DFC Intelligence suggests that the global gaming market is expected to increase from $67.0 billion in 2012 to $82.0 billion in 2017. The estimate suggests that there are opportunities for gaming companies to increase their stakes in the market. This can become positive for AMD in the long-term as it can deploy its GPUs in other games as well.

AMD's revenues in the third quarter came in at $1.27 billion, down 10.2% sequentially and 24.9% year over year, more or less in line with its revised guidance of a 10% sequential decline (at the mid-point). Revenues were also in line with consensus expectations of $1.28 billion. The Graphics business generated 27% of its sales and was down 6.8% sequentially and 15.1% from the year-ago quarter.

AMD's shares carry a Zacks Rank #5 (Strong Sell).

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