My only guess is they have a parallel skunkworks working on the same thing, but in a way that they can keep it closed-source - that this was a hedge they think they no longer need, and they are missing the forest for the trees on the benefits of cross-pollination and open source ethos to their business.
These were precisely the arguments for 'x86 will entrench Intel for all time', and we've seen AMD succeed at that game just fine.
If you slap a CUDA compatibility layer on top of AMD, then CUDA code optimized for NVIDIA chips would run, but would suffer a performance penalty compared to code that was customized/tuned for AMD, so unless AMD GPUs were sold cheap enough (i.e. with low profit margin) to mitigate this loss of performance you might as well buy NVIDIA in the first place.