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AMD purchase ATI, will Intel buy NVIDIA to keep up ?


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NEW YORK (Reuters) -- Advanced Micro Devices Inc, the No. 2 supplier of computer processors, said on Monday it would acquire graphics chip maker ATI Technologies Inc. for $5.4 billion in cash and stock to expand its product mix and grow market share as it battles Intel Corp..

Wonder what AMD has in mind ? ATI's go the integrated Graphics market pretty well to it's self (after Intel of course)

Not too sure wether this is good for the Graphics world or not.

For the the full article have a look here

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My point of view is that of the 2 overlaping sectors between ATI and nVidia... for the end user it's the chipset area that has the most to lose. Saying goodbye to the nForce chipset family (or having a low quality/old generation) is something that might cut the AMD sales.

As much as I like AMD in my desktops, I always took Intel CPUs on my laptops. Intel mobile platform (not the P4 shoved in a laptop) is delivering the power saving and versatility required by the laptop user. If AMD and ATI team up to provide an efficient mobile platform it will have all the cards to beat Intel on the "base user" area.

The Intel integrated graphics is good at one thing... moving 2D windows around.

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The biggest share in integrated graphics is still for Intel. I can certainly see how a seemless integration of a decent northbridge + integrated with a AMD CPU would benefit both parties...

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I am also unsure of how things will end up. The nForce platform is fantastic and although nVidia has pledged to stay committed to AMD in the short run, I don't see them continuing with their next generation of nForce. My desktops have all been AMD and nVidia and my laptop is Intel and nVidia. I just hope they use this merger to only work in the integrated space but I don't see how that will last. I hate to see the end of competition. Maybe Matrox will step up to fill in the gap :) , ok just kidding.

I just don't see why nVidia would continue to make chipsets for AMD with this purchase. It almost seems as if computers are becoming more console-like in that there are going to be divisions between the major players that may start to make compatibility an issue. Am I going to be stuck with ATI if I buy AMD? I hope not as I like to have options. Let?s hope AMD hasn't gone completely MAD and will allow us to use nVidia with their CPUs. Can't wait for quadcore 4x4!



P.S. As a side note, I wonder what this means for the console gaming industry. I mean the XBOX360 uses an ATI graphics chip with an IBM custom PowerPC CPU, the Wii uses an ATI graphics chip and an IBM custom PowerPC CPU, and the PS3 with an nVidia chip and an IBM created Cell processor. Could we be seeing the first signs of AMD making a play into this market? That might be kind of cool if they don't change much else of their business model. I guess time will tell.

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Yeah, this was an interesting turn of events. We'll definitely have to keep our eyes out for any more mergers of this sort.

For the past 2-3 years, these mergers never cease to amaze me at times. :)

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