AMD said Tuesday it's acquiring Sunnyvale, California-based HiAlgo Inc. to bolster its Radeon line of graphics products. HiAlgo specializes in software that accelerates 3-D graphics performance in games and its site hints that it may also work in other technologies.

A likely bet would be virtual reality, an area that AMD has been pushing of late.

In a statement released by AMD, Raja Koduri, senior vice president and chief architect, Radeon Technologies Group, said, "Software is an integral part of advancing the science of graphics, enabling us to best harness the silicon of the GPU to maximize performance and deliver outstanding experiences in games and applications. HiAlgo embodies our spirit of passion, persistence and play by delivering a number of creative approaches to software that improve gamers' experiences, and helps future-proof the GPU."

The company did not immediately disclose financial terms of the deal or number of HiAlgo employees affected by the acquisition.

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