Following on from ATI's involvement with Microsoft's next-generation games console, the Xbox 360, the company has said that it would like to partner up with Microsoft longer term, and is seeking a long-term partnership. ATI seeks to move to being "much more like a PC/digital consumer company, not a PC company that's dabbling in digital consumer." It appears that ATI would like to produce the next round of graphics technology for Microsoft when other projects beyond the Xbox 360 are being developed. Additionally, Microsoft is very likely going to expand into various new multimedia sectors, and ATI want to be in on the action with them.
"That's what we want to do because we believe this technology is ultimately redeployable in different forms. That's what we hope ultimately Microsoft will decide." - ATI CEO Dave Orton.