Slashdot Mirror
Lawsuit Claims Nvidia Execs Concealed Serious Flaw
snydeq writes "A lawsuit filed in a California court on Tuesday alleges Nvidia concealed the existence of a serious defect in its graphics-chip line for at least eight months 'in a series of false and misleading statements made to the investing public.' The lawsuit contends that Nvidia CEO Jen-Hsun Huang and CFO Marvin Burkett knew as early as November 2007 about a flaw that exists in the packaging used with some of the company's graphics chips that caused them to fail at unusually high rates. Nvidia publicly acknowledged the flaw on July 2, when it announced plans to take a one-time charge of up to $200 million to cover warranty costs related to the problem. That announcement caused Nvidia's stock price to fall by 31 percent to $12.98 and reduced the company's market capitalization by $3 billion, the lawsuit said. The lawsuit seeks class-action status against Nvidia and unspecified damages."
I had an nVidia 8800GT card fail prematurely early this summer. I was pleased with its performance, other than the failure, so I picked up the newer version of the same card, from a different manufacturer. Unfortunately that was the middle of June :(
So odds are high that this card is going to die early too. And of course I don't have receipts for either card at this point, but if there's a chance at recouping some of my investment, I'd sign up.
-Rick
"Most people in the U.S. wouldn't know they live in a tyrannical state if it walked up and grabbed their junk." - MyFirs
IANAL, but different parties can sue, I think.
Manufacturers of machines can sue for damages to reputation, warranty costs, etc.
Investors can sue for lost of investment, since it wasn't, in any way, a market force that caused the loss of value.
Those who got the chips in machines can sue for damages too, I bet.
Frankly, this whole fiasco just strengthened my love for ATI. Their newer binary blobs are amazing.
Show this to your friends and family that don't know what a real hacker is
"Their newer binary blobs are amazing."
So long as you don't want to run two X servers on two VTs.
Go green: turn off your refrigerator.
Actually their latest drivers are pretty dang good. Plus nVidia had a bunch of driver issues as well not long ago.
See my blog http://ilovecookes.blogspot.com/ for light hearted technical information.
Without nVidia, what's going to put the coals to AMD/ATi's proverbial behind?
Customer demand for better service. If AMD/ATI doesn't provide it, then you have a huge demand that's unfulfilled. That provides a large incentive for a new or existing company to fill that demand. If they need money to make it happen, banks will see the demand and be willing to offer loans. If there is no demand, then what's the issue? If you think there should be a demand for better, then you should convince customers of that.
[stockholders are] being punished for investing in a company that lied about shit products.
Have you seen the markets the last couple weeks? There must some big crapload of companies out there who lie about shit products.
... oh wait.
If libertarians are so opposed to effective government, why don't they all move to Somalia?
Chip packaging refers to the part around the silicon. In your stereotypical chip, it's the gray 'body' that the pins emerge from.
So we can buy more shit?
That's the problem there buddy. We shouldn't be supporting lying companies selling sub par products.
Often time the retailers pay for this more than anyone else. Bad business is bad for everyone and its not up to consumers to support BAD BUSINESS nor should we feel like we have.
Capitolism is the misguided belief by people living in Washington, D.C. that they're smarter than everyone else in the country.
The problem with socialism is that eventually you run out of other people's money
And why would anyone mod you up for what is common knowledge?
With 0% unemployment, there's no one to hire when new jobs open up or current employees need replacing.
Nothing secret about it, just a little common sense.
To quote LongNoi "QZTR was right and won't leave me alone because I called him a moron when I was wrong" FYS