Why AMD should merge with Nvidia

JPB

Diamond Member
Jul 4, 2005
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I HAVE NO IDEA WHERE WHAT FORUM THIS WOULD GO IN. I PUT IT HERE BECAUSE MENTION OF ATI AND NVIDIA.



Why AMD should merge with Nvidia

TO QUOTE A famous expression: "there can be only one". Looking at how things shape up for AMD and Nvidia, it's rather obvious to see that in the future there can be only one.

To battle Intel and its upcoming technologies, it's going to take a lot more than what AMD or Nvidia can offer on their own. They need to form a very close cooperation or even fuse into one single, across-the-board company.

Daamit is in big trouble with its CPU line and Nvidia is in big trouble with... pretty much everything. But AMD has a big debt coming along with it and Graphzilla is far from being the richest boy in the classroom. However, they're both green, so check one on the compatibility list.

Technology match
Not only in colour are the two companies a good match. Now that Ruiz is gone, maybe a bit of common ground can be found. If only Huang can forget about his ego for a few moments, only enough to realize that a common future is a much better path than a separate future. Daamit has a very nice engineering potential as well as several fabs in its pocket. It has the most efficient GPU to date and a CPU line to go with it, embattled as it may be. Nvidia on the other hand, can fill in the high performance GPU gaps and can offer additional chipset know-how. Together, they have what it takes to deliver strong single and multi GPU technologies, a very complete physics support for gaming purposes and a great GPGPU range. AMD already delivered Puma, a unified mobile platform. Together with Nvidia, they can put the pressure on Intel, big time. They got Fusion coming up, Nvidia has Physx and if they work together that can mean a world of pain for Chipzilla.

A blue future
Arguably, Intel has all the aces right now. It's going to be a blue future for the IT world, but also a blue mood for Envydia and Daamit if Intel can make things work in reality the way they currently work on paper. And, unfortunately for the greenies, in the past few years Intel has actually made things work even better in reality than what they promised in slide shows. The upcoming discrete GPU from Intel, Larrabee as well as the upcoming Nehalem assault should give Damvidia a lot to think about.

For now, there is no reason to think that Intel's new aspirations in the GPU market will be a fluke. Of course, there is no reason to think otherwise either. Larrabee is an unknown factor right now. But Intel has proven many a times that even though it might be a fresh entrant into a given arena, it can make up for the lost experience extremely fast. This is a very agile and versatile competitor, definitely not to be underestimated. Huang knows that and that's the reason he's so passionate about Intel lately.

Under the belt
What's even more worrying is the fact that Intel will undoubtedly hit both green camps under the belt with Larrabee. For now, they appear to accept the fact that rasterization is still hip in the gaming world, but Larrabee has the potential to do much more, they made sure we all know that. First of all, there's raytracing. This may be the ultimate in providing super realistic graphics and fantastic special effects. and Intel is banging the war drum on this subject. Nvidia and AMD have nothing in this area as of right now and they will pretty much wake up not only being beat at their own game, but even falling behind with a few years from a technological point of view.

To this, we must add Intel's know-how in the field of chip design. Larrabee is already supposed to be multi-core, and very powerful too. Think about the raw amount of power offered by the beast as well as the efficiency with which that power will be used. These things alone should be more than enough reason to worry for the greenies.

Conclusion
It's been a while since AMD has had its own GPU line. The latest exponent of this line, the 4800 series, is one of the best pieces of graphical acceleration engineering to grace the IT world in the past few years. But one cannot argue that Nvidia is a very strong ally to have on board. Even with its lack of charisma, Intel's Santa Clara neighbour is what AMD needs to weather the storm ahead.

It goes the other way around too. With a mounting debt and a host of other problems, Chimpzilla can't afford any more months filled with bad news and migration of key personnel. A fusion or at least a very close partnership is something that will undo some frowns and give the investors reasons to cheer about. It would boost motivation in both camps and bring numerous marketing, logistical and technological assets under one hopefully happy roof. Nvidia, with its monstrous GPU tactic is safe, because DAAMIT's targets in this arena are different anyway. So why not put two plus two together and give Intel some real competition in the future, not two small companies which to wipe the floor with?



Figured it would be a good discussion piece :)
 

ViRGE

Elite Member, Moderator Emeritus
Oct 9, 1999
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This forum is as good as any other in this case, I really can't think of a better place to tell you to send it to
 

Bateluer

Lifer
Jun 23, 2001
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Uh, no. I'd rather see Nvidia enter the x86-64 CPU market themselves and make for some 3 way competition. The last thing we want are two corporations 'competing' with each other.
 

The Keeper

Senior member
Mar 27, 2007
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NVIDIA doesn't have x86 license as far as I know. Could they buy it from Intel if they wanted to? Who knows. Could they get it by buying VIA for example? Who knows.
 

ajaidevsingh

Senior member
Mar 7, 2008
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I dis-agree with the whole article...

Nvidia makes GPU's, AMD makes GPU's... AMD already merged with a very very respectable company "Ati" and that was needed to live...

Just think if they had not merged with Ati, AMD would have almost dies with its CPU sinking... Nvidia on the other hand need it to pull its things together...!!!

AMD+ATi and Nvidia on the other is req. for fair GPU prices just like AMD+ATi and Intel is req for fain CPU prices..!! "No sorry I dont think VIA matters much"

BTW I think if Nvidia did merge with AMD, it will be like the 3Dfx buyout fiasco..!!!


EDIT:- Intel is already sad that AMD got the x86 license and they have tried to get it revoked in the past if a 3rd company did buy up VIA or AMD there is no way Intel will let them get x86 license...!!
 

apoppin

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Daamit is in big trouble with its CPU line and Nvidia is in big trouble with... pretty much everything.

Since this FALSE conclusion hangs the entire premise of this idiotic shallow editorial - we can forget the rest of the entire article

A merge would destroy both companies. Intel has nothing new yet and AMD has already merged with ATi for its Fusion. Nvidia is not in a weak position and can possibly buy SiS for its x86 license.

The writer is full of it, imo
- yellow tech press
:thumbsdown:
 

SunnyD

Belgian Waffler
Jan 2, 2001
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This is all just gossip/hype on The Inq's part - more sensational than usual.

AMD / NVIDIA do not need each other in any way other than to complement each other's sales. NVIDIA needs AMD somewhat more now, admittedly due to the lack of license for Nehealm (All they get to do is beg vendors to drop their SLI chip on Intel chipset motherboards - not a big sales component there since it's just added cost to the vendors). But AMD is actually in a great position with their own chipsets, and can basically shrug NVIDIA off. AMD is also in good shape with their graphics portfolio, so they really have no need for NVIDIA there.

NVIDIA on the other hand has a strong portfolio in it's graphics offerings, so they don't need AMD there. They have also started down the path of general purpose computing, so a CPU is probably in the works as well... but is it too little too late? That depends, NVIDIA has pulled off some surprise performance before, and being a graphics company they'll be strong in the land of floating point (ie: gaming). Integer performance isn't that hard to come by, so they could pull it off.

x86 license? That's a wildcard. I think that NVIDIA might acquire or get rights through someone else (cheaper) for their x86 license... after all, NVIDIA is working with companies like Transmeta.

VIA is also likely a better target for some sort of agreement than AMD is, especially since VIA has an x86 license and a viable, though somewhat underpowered CPU. Of course a VIA-NVIDIA connection stands to be of much more benefit too, as VIA does have a solid CPU product and design team (the old Centaur & Cyrix teams), and their weak link is the floating point functionality, which NVIDIA can definitely help with. VIA would also be significantly less of a risk as far an anti-trust (graphics market) issues go. That is unless Larrabee cuts NVIDIA off at the knees too.

I can see NVIDIA making a move in the next 6-12 months, especially if Nehealm locks them out of the chipset business and SLI motherboards for Nehealm are few and far between. I personally see AMD working more closely with Intel (cackling as they try to muscle NVIDIA out of the graphics market) than I do with NVIDIA. AMD wants to sell chipsets just as much as CPU's, so they won't want NVIDIA on their turf for that. Intel has already said they want AMD to stay in the picture. NVIDIA has become rather caustic against Intel, so you can see where this is going.

NVIDIA will act, but I seriously doubt it will be in some sort of deal with AMD. 6-12 months and I bet we're going to see some shockwaves going through the x86 market, but not what everybody things it's going to be.
 

SSChevy2001

Senior member
Jul 9, 2008
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Competition and price wars are why no one want's this to happen. AMD needs to focus on CPU market right now, and put a little hurting on Intel as they did with Nvidia on the GPU front.
 

JPB

Diamond Member
Jul 4, 2005
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Originally posted by: apoppin
Daamit is in big trouble with its CPU line and Nvidia is in big trouble with... pretty much everything.

Since this FALSE conclusion hangs the entire premise of this idiotic shallow editorial - we can forget the rest of the entire article

A merge would destroy both companies. Intel has nothing new yet and AMD has already merged with ATi for its Fusion. Nvidia is not in a weak position and can possibly buy SiS for its x86 license.

The writer is full of it, imo
- yellow tech press
:thumbsdown:

I totally agree with apoppin, but an interesting discussion nonetheless.
 

designerfx

Junior Member
Feb 11, 2008
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The OP is so far off that it's almost insulting. I totally support if you have your own preference for Nvidia over AMD because people should be entitled to their opinions, but please base them off fact.

Here's what happens: AMD + Intel + Nvidia compete, and whoever is down gets trashed by people and whoever is up gets praised/the trashtalkers quiet up about or try to downplay.

However, apoppin is dead on. I seem to recall NV and ATI worked together on something back in the day and it failed miserably...but I don't remember what gfx card/chipset that was.
 

thilanliyan

Lifer
Jun 21, 2005
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Originally posted by: apoppin
Nvidia is not in a weak position and can possibly buy SiS for its x86 license.

I've heard that the x86 license can't be transferred so they might not be able to get it even if they buy SiS. Someone correct me if I'm wrong.
 

magreen

Golden Member
Dec 27, 2006
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That article was laughable. Just about at the level of the Inquirer tabloids they sell in supermarkets.

(I heard Jay-Lo is going out with Elvis... shhh... Don't tell!)
 

apoppin

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Mar 9, 2000
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Originally posted by: thilan29
Originally posted by: apoppin
Nvidia is not in a weak position and can possibly buy SiS for its x86 license.

I've heard that the x86 license can't be transferred so they might not be able to get it even if they buy SiS. Someone correct me if I'm wrong.

They get around that by keeping SiS as a Division of Nvidia
- i guess Nvidia needs to buy ViA to get to SiS

unless you think the $25M chump change they paid to Transmeta for its slow-ass x86 emulator license is giving away their real direction

rose.gif
 

Wreckage

Banned
Jul 1, 2005
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Originally posted by: jiffylube1024
Originally posted by: Wreckage
If NVIDIA waits long enough they should be able to buy AMD outright.

Or vice versa, as it's looking right now...

You really should look at AMD's recent earnings reports, market share and stock price before making such an ill informed statement.

Hell they had to take out a loan just to buy ATI and now they may go out of business because of it.
 

ronnn

Diamond Member
May 22, 2003
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Originally posted by: Wreckage
If NVIDIA waits long enough they should be able to buy AMD outright.

Buy or merger - same thing - they would have to like each other and work together. Entertaining trick of fate that their survival may depend on being civil.
 

thilanliyan

Lifer
Jun 21, 2005
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Originally posted by: apoppin
They get around that by keeping SiS as a Division of Nvidia
- i guess Nvidia needs to buy ViA to get to SiS

unless you think the $25M chump change they paid to Transmeta for its slow-ass x86 emulator license is giving away their real direction

rose.gif

Can Intel revoke the license any time they want?
 

schneiderguy

Lifer
Jun 26, 2006
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Originally posted by: jiffylube1024
Originally posted by: Wreckage
If NVIDIA waits long enough they should be able to buy AMD outright.

Or vice versa, as it's looking right now...

AMD hasn't made a profit in the last couple of years, so it'll be a while before they have enough money to buy a company worth twice of what they are ;)
 

5150Joker

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Feb 6, 2002
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I think in the long run, nVidia will probably strike up a deal with VIA or some other Taiwanese company. AMD doesn't need nVidia at all and as long as they don't try to take on Intel at the high end anymore and employ a similar strategy for their CPU's as they did their recent 4800s, they should be fine. Just target the middle and lower market segments with cheap all-in-one products with multicore CPU/GPU and you will make a nice amount of cash. The company that stands to lose the most right now is nVidia, especially given how badly the PC gaming market is faring lately.
 

unr3al

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Jun 10, 2008
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Looking at history (which tends to repeat itself) imo AMD is completely capable of competing with Intel on their own. Who expected such a blow to nVidia when RV770 was released? I honestly can't wait to see what they have in store for the low- and medium-end segments of the market (aka HD4450/70 and HD4650/70). If we can have an $80 card performing close to the 9600GT that could be a whole new battle in itself!

Where CPUs are concerned, their performance has been conspicious by its absence but I don't think they're going bankrupt anytime soon. Just keep waiting people...
 

SunnyD

Belgian Waffler
Jan 2, 2001
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Originally posted by: ronnn
Originally posted by: Wreckage
If NVIDIA waits long enough they should be able to buy AMD outright.

Buy or merger - same thing - they would have to like each other and work together. Entertaining trick of fate that their survival may depend on being civil.

Interesting position - though it's been done before. HP/Compaq. DEC/Intel. In any event, the more I think about it, the more I stand by the notion that AMD wouldn't want this at all, as it puts AMD diametrically opposed to Intel in every single area.

NVIDIA on the other hand would want it, because it gives NVIDIA everything it needs to build a platform. NVIDIA would eviscerate most of AMD in the process though, because I just don't see NVIDIA playing nice with ATI.

Finally, I don't think Intel would care either way what happened. Right now, they have an ally of opportunity in AMD, and they are embracing it. However, for the exact reasons NVIDIA would take AMD, I could hypothetically see Intel actually wanting that too. Not only does it get rid of an established competitor, it would produce infighting and inherently slow NVIDIA down for a while. On the graphics and chipset front, it reduces things down to one major competitor. Basically Intel could let NVIDIA and AMD do the dirty work for it be embracing that sort of merger.

Originally posted by: thilan29
Originally posted by: apoppin
They get around that by keeping SiS as a Division of Nvidia
- i guess Nvidia needs to buy ViA to get to SiS

unless you think the $25M chump change they paid to Transmeta for its slow-ass x86 emulator license is giving away their real direction

rose.gif

Can Intel revoke the license any time they want?

That all depends on the license, which I doubt anyone is publically privy to. My guess is that they would probably go the way of VIA with their license - it would be valid until the contractual end date, at which point Intel would not extend the option to renew it, leaving NVIDIA to have to start making innovation on its own. This is how AMD's license works, and about 90% of the reason why Hypertransport and 3DNow! were born. It's also why we see two different 64 bit instruction sets on X86. It has nothing to do with AMD thinking their instruction set was better than Intel's (because AMD64 came out before E64MT).