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Thread: Nvidia Pulling Out of Board Chipsets

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    Pork & Beans Powerup Phage's Avatar
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    Nvidia Pulling Out of Board Chipsets

    You have to start worrying about NV at this point.
    http://arstechnica.com/hardware/news...ng-arrives.ars
    What do they have left ? Are they banking everything on the integrated chips ?
    Last edited by Phage; 09-10-2009 at 09:01 AM. Reason: typo
    Society's to blame,
    Or possibly Atari.

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    Banhammer in peace PeterB kalniel's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    At the moment the add-in graphics market is large enough to sustain them. Unless AAA PC gaming changes though it won't be for long, and larabee might jump into that space eventually too. Cheap integrated chips will go the way of the dodo once CPU+GPU chips ramp up from AMD and Intel. Which leaves the profitable but transitory GPGPU market.. but again larabee's likely to clean up there as well.

    No, I would not like to have to rely on nVidia's long term.

    Maybe they can scale back and just create the odd chip for consoles or something.

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    Welcome to stampytown! Salazaar's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    Quote Originally Posted by kalniel View Post
    Maybe they can scale back and just create the odd chip for consoles or something.
    I think they're banking on Tegra, high performance media chips for low power mobile devices.
    ____
    (='.'=)
    (")_(")

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    Banhammer in peace PeterB kalniel's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    Could be - but I don't know how that'll play out long term against the Intel system on chips that are coming (moorestown for eg.).

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    Pork & Beans Powerup Phage's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    Time to short NV. I can't see a big future for them unless they can pull a game-changing strategy out of the hat by the end of Jan.
    Society's to blame,
    Or possibly Atari.

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    Banhammer in peace PeterB kalniel's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    Well, they're not in any immediate financial problems, so it's a case of hanging on until there is an area of growth for them. Maybe they have a contract win for the 2012 consoles? Even if they don't I suppose PC gaming hardware spend might increase again as developers start taking advantage of the new console hardware and finally make use of PC equivalents.

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    Re: Nvidia Pulling Out of Board Chipsets

    Nvidia have responded to this rumour:

    We've received a number of inquiries recently about NVIDIA's chipset (MCP) business. We'd like to set the record straight on current and future NVIDIA chipset activity.

    On Intel platforms, the NVIDIA GeForce 9400M/ION brands have enjoyed significant sales, as well as critical success. Customers including Apple, Dell, HP, Lenovo, Samsung, Acer, ASUS and others are continuing to incorporate GeForce 9400M and ION products in their current designs. There are many customers that have plans to use ION or GeForce 9400M chipsets for upcoming designs, as well.

    On AMD platforms, we continue to sell a higher quantity of chipsets than AMD itself. MCP61-based platforms continue to be extremely well positioned in the entry CPU segments where AMD CPUs are most competitive vs. Intel

    We will continue to innovate integrated solutions for Intel’s FSB architecture. We firmly believe that this market has a long healthy life ahead. But because of Intel’s improper claims to customers and the market that we aren’t licensed to the new DMI bus and its unfair business tactics, it is effectively impossible for us to market chipsets for future CPUs. So, until we resolve this matter in court next year, we’ll postpone further chipset investments for Intel DMI CPUs.

    Despite Intel's actions, we have innovative products that we are excited to introduce to the market in the months ahead. We know these products will bring with them some amazing breakthroughs that will surprise the industry, just as GeForce 9400M and ION have shaken up the industry this year.

    We expect our MCP business for both Intel and AMD to be strong well into the future.
    Source

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    Pork & Beans Powerup Phage's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    Translation:
    We're still selling tons of the mobile GPUs.
    We're still selling tons of chips for AMD boards.
    We are stopping production of chips for Intel boards.

    The rest is waffle. In fact you can cut this down even further.

    We're still in business, but we're stopping production of chips for Intel boards.
    Society's to blame,
    Or possibly Atari.

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    Banhammer in peace PeterB kalniel's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    I wouldn't even say a ton. 'Significant sales' doesn't come across to me as something really wild to shout about.

    And how many AMD boards are there sold compared to Intel? It's got to be something like 20:80 split, so losing Intel is going to be a huge blow.

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    Re: Nvidia Pulling Out of Board Chipsets

    With the new generation rumoured to be having low yields, the dummy board at the Expo, and now this...the clouds are definitely gathering.
    Society's to blame,
    Or possibly Atari.

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    Re: Nvidia Pulling Out of Board Chipsets

    You lot love a bit of doom don't you.

    I read this as:

    "We are shifting plenty of chipsets and continuing with doing that, but we aren't spending on R&D for new Intel designs until we sort out our current handbags-at-dawn spat just in case we never get a licence"

    Their integrated chipsets are good, they can sell plenty for the AMD market - it's not like AMD CPUs with built in graphics cores are coming next week or something, a new version of the 8200/8300 wouldn't hurt - i.e a 9 series for AMD chips, make it clearly better than 785G. The 9400/9300 et al is fine for Intel systems and they don't need more R&D there, they can keep selling it whilst Core 2 is still being sold and make money. Ion doesn't need much work and is a great partner for current Atoms.

    I would have thought there is a continuing market for integrated chipsets, it's only going to be low end 2 core chips from Intel that have the on-chip graphics. If you want more CPU power and some solid graphics capabilities - media centres, casual gaming home PCs etc then an NVidia integrated chipset would seem like a winner to me - but they need that licence...

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    Re: Nvidia Pulling Out of Board Chipsets

    Quote Originally Posted by kingpotnoodle View Post
    You lot love a bit of doom don't you.

    I read this as:

    "We are shifting plenty of chipsets and continuing with doing that, but we aren't spending on R&D for new Intel designs until we sort out our current handbags-at-dawn spat just in case we never get a licence"

    Their integrated chipsets are good, they can sell plenty for the AMD market - it's not like AMD CPUs with built in graphics cores are coming next week or something, a new version of the 8200/8300 wouldn't hurt - i.e a 9 series for AMD chips, make it clearly better than 785G. The 9400/9300 et al is fine for Intel systems and they don't need more R&D there, they can keep selling it whilst Core 2 is still being sold and make money. Ion doesn't need much work and is a great partner for current Atoms.

    I would have thought there is a continuing market for integrated chipsets, it's only going to be low end 2 core chips from Intel that have the on-chip graphics. If you want more CPU power and some solid graphics capabilities - media centres, casual gaming home PCs etc then an NVidia integrated chipset would seem like a winner to me - but they need that licence...
    I do, I do....</eeyore>
    In tech you can't stop spending on R&D. You're only as good as your next product. The point is that their relationship with their most signifcant trading partner has broken down so badly that they are now in court. It may never be repaired.
    I wouldn't be buying an NV share right now.
    Society's to blame,
    Or possibly Atari.

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    Re: Nvidia Pulling Out of Board Chipsets

    Quote Originally Posted by Phage View Post
    I do, I do....</eeyore>
    In tech you can't stop spending on R&D. You're only as good as your next product. The point is that their relationship with their most signifcant trading partner has broken down so badly that they are now in court. It may never be repaired.
    I wouldn't be buying an NV share right now.
    It's not like Intel chipsets were the bulk of their business... they've got fingers in many more pies than that. It'd be like losing a small skirmish, not even a battle and definitly not the whole war...

    They have suspended R&D, indicating perhaps that some or much of the chipset was done but they don't have the licence to finish it - so have stuck it on the back burner while the legal issue is solved.

    Storms, tea-cups...

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    Pork & Beans Powerup Phage's Avatar
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    Re: Nvidia Pulling Out of Board Chipsets

    Oh it's not fatal. But it is a big blow, and in hard times that's not welcome.
    http://www.hexus.net/content/item.php?item=20633&page=2
    The article states that 30% of total NV revenue was MCP business. How much of that was intel ? At least 2/3. So NV just lost 20% of gross revenue. let's not even go to the faked fermi boards
    Not a tea cup, an uppercut.
    Society's to blame,
    Or possibly Atari.

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    Re: Nvidia Pulling Out of Board Chipsets

    Quote Originally Posted by Phage View Post
    Oh it's not fatal. But it is a big blow, and in hard times that's not welcome.
    http://www.hexus.net/content/item.php?item=20633&page=2
    The article states that 30% of total NV revenue was MCP business. How much of that was intel ? At least 2/3. So NV just lost 20% of gross revenue. let's not even go to the faked fermi boards
    Not a tea cup, an uppercut.
    30% of revenue != 30% of profit ;-)

    I don't think the chipset sales split was 2/3rds Intel ones (which they are still selling anyway), in the Intel market NVidia had more competition from Intel that it did from AMD in the AMD market - I think most of their chipset sales were probably AMD ones, or at least closer to 50/50. I might be wrong... but I can't really find figures on it.

    They've *possibly* (depending on court action) lost a part of a diminishing market which had average margins anyway - IMHO it's quite a stretch to say this is more than a small blow - they saw this coming ages ago and developed new products to replace the revenue stream (Tegra, CUDA, Tesla etc).

    NVidia will be fine!

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    Re: Nvidia Pulling Out of Board Chipsets

    Should nVidia go pop it would only be bad news for the average consumer.
    With no real competition there would be no price wars, no need for ATi to up there game to compete.
    No matter which camp youre in Red or Green it would be bad.

    Personally I dont have camp its who ever makes the best GPU for the Cash.

    Seems about every 6 months they leapfrog each other anway.

    What would be interesting is a 3rd party to actually storm in with a great product which would be even better for the average consumer.

    But losing nVidia Intel Chipsets has less of an impact as they were never regarded as the best.

    Though I personally like the AMD chipsets they created.

    At the end of the day any company stuggling to the point they go out of business can only be bad for the masses on the whole.

    Monopolies = expense

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