Nvidia to challenge Intel with integrated graphics chip

In a bid to compete directly with Intel in the low-cost computer market, Nvidia is reportedly getting ready to take on Intel’s G35 series of on-board graphics processors with a new line of GeForce series integrated graphics chips.

Intel rules the overall graphics market with a large piece of its share derived from its integrated graphics business. Meanwhile, Nvidia has 62 percent of the market for integrated graphics on motherboards used in PCs powered by AMD processors. However, AMD only accounts for 5 to 10 percent of the processor market, while Intel holds nearly all the rest.

Nvidia’s new GeForce 7150, 7100 and 7050 chips will support the Intel desktop PC processor range, including Core 2, Pentium and Celeron, as well as new Intel processors due to launch on November 12, code-named Penryn. With high end graphics boards being a small portion of the overall graphics market, targeting the low-end seems like the right move for Nvidia.