Foxconn - Maybe the Next Graphics Cards Leader in Line

It is rumored on the market that Foxconn, a company which was up until now in the shadow, may become in the near future one of the leaders in computer components manufacturing, believe the competitors, meaning the mainboard producers, according to China Economic News Service (CENS) web-site.

Consequently, as Foxconn is considered to be a large company and as it intends to extend the range of products offered, including the company's own graphics cards, this may determine a change of scenery in which the former hidden motherboard manufacturer becomes one of the leaders.

Several motherboard makers, cited by CENS web-site, said that they believe Foxconn has enough authority to restructure the market of graphics cards. As a matter of fact, Foxconn has already shipped several graphics cards to numerous computer manufacturers and, therefore, the mainboard producers' statements may just be true.

Earlier this month, Advanced Micro Devices (AMD), the second largest x86 microprocessors manufacturer, announced it intends to take over ATI Technologies, one of the leaders in graphics chipsets and processors producing, in order to provide all-in-one platform solutions as its challenger Intel Corp does, according to RBC Market Capitals analyst Apjit Walia, quoted by X-bit Labs.

More than that, the manufacturer will take over a company which prefers to outsource its production, the items being made in other facilities and then shipped under ATI's brand name. ATI Technologies has been loosing market share because of Nvidia, the company's biggest threat, especially on the desktop segment. More precisely, ATI manufactures processors for consumer electronics or handhelds, graphics processing units (GPUs) and develops technologies for game consoles and core-logic sets with built-in graphics cores for PCs.

On the other hand, Nvidia Corporation recently reported the financial results for the first quarter of fiscal year 2007, ended on April 30, 2006.

For the first quarter of fiscal 2007, revenue increased to a record $681.8 million, compared to $583.8 million for the first quarter of fiscal year 2006, meaning that an increase of 17 percent took place.