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Nvidia eyeing VIA acquisition?
The folks over at Digitimes are reporting that Nvidia has been talking to VIA about a possible acquisition but a high asking price stopped the deal from happening. However, given the company’s deteriorating financial performance, negotiations are expected to reopen with VIA coming back to the table with a lower price.
The deal would make sense for Nvidia, particularly with both AMD and Intel planning to integrate graphics cores into their processors in the future – which could make motherboard GPU solutions more difficult to sell. And though VIA’s processors are hardly a threat to Intel or AMD in mainstream and high-end markets, chips like the newly introduced Isaiah could do well in the low-cost PC and embedded space, especially if Nvidia combines them with graphics.
According to the sources, Nvidia and VIA discussed three possible scenarios, including a strategic alliance, acquisition of only VIA’s processor division, or the acquisition of the entire company. VIA has denied the speculation about a possible acquisition and Nvidia did not comment about this either. It wouldn't be the first time Nvidia buys a chip company to integrate their expertise into its own products though.
The deal would make sense for Nvidia, particularly with both AMD and Intel planning to integrate graphics cores into their processors in the future – which could make motherboard GPU solutions more difficult to sell. And though VIA’s processors are hardly a threat to Intel or AMD in mainstream and high-end markets, chips like the newly introduced Isaiah could do well in the low-cost PC and embedded space, especially if Nvidia combines them with graphics.
According to the sources, Nvidia and VIA discussed three possible scenarios, including a strategic alliance, acquisition of only VIA’s processor division, or the acquisition of the entire company. VIA has denied the speculation about a possible acquisition and Nvidia did not comment about this either. It wouldn't be the first time Nvidia buys a chip company to integrate their expertise into its own products though.
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User Comments (2)
Post a comment| Didou on March 18, 2008 3:26 PM | So we w(c)ould in the end have three companies all capable of delivering GPU, CPU & motherboard chipsets ? Would certainly make for an interesting situation.
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| siiix on March 20, 2008 8:06 AM | ohh i sure hope not : ( we would love an other competitor prices will go up and quality down don't we freking have laws against monopolies ?!?
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