The next Xbox and the PlayStation 5 may be already in the making, Senior Vice President and Chief Financial Office of AMD Devinder Kumar seemed to suggest on Tuesday at a Bank of America Merrill Lynch Global Technology Conference, without providing any specific details.When asked about his views on the game console market and sales, Kumar revealed that the company’s clients may already be thinking of next-gen products, hinting that the next-generation Xbox or PlayStation 5 could be release much sooner than people expect.
“The life cycle of the products are probably going to be shorter,” Kumar said. “Our customers are already thinking about what comes next. These are long life cycle products and as you know in the semi-custom space, you start with — three years before you introduce a product, a decision is made to use a particular company. In this case it was AMD. And then you go ahead and co-develop the product with the funding dollars frankly, mostly coming from our customers. And then when you introduce the product, there is really no expenses from R&D standpoint, no sales and marketing dollars and whatever dollars you generate from a gross margin dollar standpoint, falls to the bottom-line and that’s what excites us.”
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What do you guys think about this? Rumor or Fact?