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ATI Wins Bid For Next Xbox
TypoNAM writes "CNET News is reporting that graphics chip underdog ATI Technologies has signed a contract with Microsoft to produce components for future versions of the Xbox game console, beating out market leader Nvidia." According to the article, "The announcement ends months of speculation over whether Nvidia, the leading maker of graphics processors for PCs, would renew its troubled partnership with Microsoft on the Xbox."
If this is the case it seems unlikely that we will see any backwards compatibility between xbox2 and the original. The original Nvidia chip was based on a DX part (and it's likely the ATI one will be as well) but the better games access a lot of the hardware directly.
Of course it's possible that MS were smart enough to have conditions in the original X-Box contract with Nvidia that would allow them to produce a more or less compatible chip.
Hrmmm. Given that the CEO of Nvidia has made comments discussing his "platform on a chip" concept for the company, it makes me wonder if Microsoft views him as a potential future competitor?
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How do you think this will affect the current relationship between ATI and gamecube?
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Every company that ever deals with MS gets shafted. I give them a year before Microsoft discovers that it is perfectly able to produce its own graphics systems, using technology that is amazingly close to ATI's, yet incredibly much cheaper.
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to pick up some ATI stock. I thought about investing in Nvidia a while back but didn't really have the money to throw down at the time. IIRC, that was a little before they started winning all of those big contracts (like with MS). Would have at least tripled my money (or maybe more). DOH!
And the opportunity might be here again, and still no money to throw around. (Sigh)
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It has been demonstrated that while nVidia may have the fastest overall chip, ATi has concentrated on a more balanced solution -- better color and clarity of the image. ATi's ship is not all that much slower than nVidia anyway when you look at the specs and benchmarks. I would rather have a game console that's fast and has a good, crisp image than a fuzzy-around-the-edges rendering. This is a good thing for XBox.
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No, I think the parent to your post got right. MS was able to get a much better deal ($) from ATI. And they could exert much greater control in formulating the deal. Sticking it to nVidia is probably viewed as a bonus.
Nothing from the MS PR machine is what it seems at face value (that's why it's PR). That's why I don't think this has anything to do with technical criteria. This is cost combined with "good enough" capability to improve Microsoft's prospects for profit in XBox2.
I imagine the "troubled partnership" between Micros~1 and NVidia is largely based on the fact that NVidia made damn sure they had a good contract in place.
NVidia and Microsoft cut their deal when NVidia was the undisputed leader in graphics chips, and Microsoft was the undisputed leader in anti-trust crimes. NVidia, being founded in part by ex-Sun employees, knew full well that dealing with Microsoft was a sure-fire way to get screwed. So no small amount of time was spent making absolutely certain the contract between them left no room for "creative misinterpretation" on either side.
I imagine NVidia wants/wanted to exercise the same care in the Xbox2 deal, but Microsoft would rather have someone they can walk over. Hence the "troubled partnership."
This is, of course, all pure speculation.
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nVidia's strong point has always been their continued driver development (yes, I know the Linux driver is not open. Yes, I know about the 3Dmark controversy), and since updating drivers on a console is not something people would be used to doing, or even allowed to do, ATI's raw speed bonus seems logical.
"To confine our attention to terrestrial matters would be to limit the human spirit." -Stephen Hawking
Why? Because the X-Box business was designed to be a high volume, low-profit enterprise, and with X-Box mired way back behind the PS2, it just wasn't high volume enough to make up for the thin margins.
Moreover, because they were so concerned with X-Box, NVidia took their eye off the ball and let ATI catch up and even pull slightly ahead. I would not be at all surprised if the same thing happened to ATI this time around. There's only so much graphic card technical talent available to throw at a problem, and with so many of them working on X-Box2, I wouldn't be at all surprised to find that 6 month product rev cycle shipping to nine months or a year.
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Wonder if MS would push them to not make Linux drivers anymore.. They've done things similar in the past. Though the driver quality is dominated by Nvidia I'd like my 9700PRo to work in Linux.