Saturday, August 2, 2008

Nvidia waves goodbye to chipsets?

The web is alight with rumours that Nvidia has had enough of the chipset business and is poised to leave.

According to unnamed Digitimes sources, Nvidia called a meeting earlier this week with motherboard partners, to gauge support for its continued chipset development.

Chipsets are thought to account for about 18 per cent of Nvidia’s business, but Tim Luke, an analyst at Lehman Brothers, said earlier today that Nvidia “continues to be challenged by significant competitive and pricing pressures in its core GPU business”.

He also claimed that the firm, which originally only provided chipsets to AMD, has seen a decline in chipset sales to AMD since it acquired ATI.

Nvidia is yet to make an official comment.

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