If you bought an Xbox One or a PlayStation 4 during the recent holiday shopping season (or someone else bought it for you), then you directly helped fill the coffers of AMD. Sales of both systems gave AMD a boost in its fourth quarter earnings, narrowing the chip-maker's full-year losses. Both systems use custom chips made by AMD.
For the quarter ended December 28, 2013, AMD's Graphical and Visual Solutions business the division responsible for the custom chips used in Microsoft and Sony's consoles) - generated revenue of $865 million, up from $326 million in the prior year's quarter. Operating income for the division was $121 million, up from $79 million year-on-year. Graphical and Visual Solutions reported full-year revenue of around $2.2 billion, up from $1.42 billion.
Money generated from the estimated 7 million or so consoles sold by both Sony and Microsoft by the end of 2013 H were not enough to counter AMD from its Computer Solutions division, which showed a $7 million Q4 operating loss on revenue of $722 million. Computer Solutions reported a full-year operating loss of $22 million.
The company earned a total of $1.59 billion in Q4 revenue, up 35 percent year-on-year, with net income of $89 million.