Nvidia Salutes ATI Acquisition- It Will Be the Sole GPU Dedicated Manufacturer

Nvidia officials recently stated that the AMD & ATI acquisition is a positive step for the company, as it will remain the sole 'neutral' graphics processing unit (GPU) manufacturer and also the one and only dedicated leader in graphics card producing market segment.

"Today's news about the acquisition of ATI by AMD is a positive development for Nvidia We are now the only graphics processor and core logic company that supports both Intel and AMD processors," said the company in a statement published by AMDZone web-site, cited by X-bit Labs.

Currently, ATI's product portfolio is far more diverse than Nvidia's, the latter preferring to focus on gaming graphics cards and core-logic line-ups.

Moreover, it is rumored that AMD might change ATI production strategy, refocusing it on AMD compliant products, determining therefore a reduction in graphics processors manufacturing. ATI may also loose another piece of market share if it doesn't get an Intel license for the latter's next generation bus.

And the problems don't stop here. AMD may also face problems, as it has acquired a company which prefers to outsource its production, the items being made in other facilities and then shipped under ATI's brand name.

Consequently, if AMD is determined to produce also ATI's chips, the company will definitely have to decrease the quantities of items manufactured in its facilities. Furthermore, a series of investments into ATI's products quality and performance would trigger a decrease in the company's own technology development.