Nvidia Halting Chipset Development…. Hmmm

PC Magazine is reporting that Nvidia is putting it’s chipset business on hold due to legal issues between itself and Intel. Nvidia sock puppet PR person Robert Sherbin explains why:

“We have said that we will continue to innovate integrated solutions for Intel’s FSB architecture,” Sherbin said in an email. “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.”

Intel claims that its four-year-old chipset license with Nvidia does not cover the “Nehalem,” or Core series of microprocessors. Nvidia disagrees, and the matter will be hashed out in court in 2010. Nvidia still sells chipsets specifically designed for AMD’s line of processors, but has halted further development as well.

So, anybody who wants a chipset to work with an AMD or and Intel process is not going to Nvidia. That may pose a problem for Apple who uses Nvidia chipsets in Macs because they offer a performance improvement of similar Intel chipsets.

The same report also claims that Nvidia is also exiting the mid- and high-end standalone graphics card market, although the company has apparently called the rumor “patently untrue”. Sure, I remember not to long ago that rumors that it was leaving the chipset business were “groundless” according to Nvidia and today we have them leaving the chipset business. So take that denial for what it’s worth.

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