Microsoftâ€™s Xbox was the thread joining Microsoft and AMD on Wednesday, as both companies reported stellar quarterly profits and revenues that benefited from the â€œstay at home, play at homeâ€� pandemic experience. Supplies of the console will remain tight for now, though, the companies said.
AMD continued to benefit from the rabid demand for its embedded console processors as well as its GPUs and CPUs for the PC, as the chip company reported profits that soared about 450 percent, from $390 million a year ago, to $1.78 billion for the fourth quarter of 2020. Revenue also increased by 53 percent, to $3.24 billion. More tellingly, AMD predicted that revenue for the current first quarter would be about flat, at $3.2 billionâ€”evidence that demand, and revenue, would continue.