Intel files suit stating it doesn't wish to extend its agreement with Nvidia
Intel has dragged Nvidia to court over a four-year-old agreement with Nvidia to produce chipsets. Intel has filed a suit stating that it doesn't wish to extend its agreement to their future CPUs with integrated memory controllers. As alleged in court, Intel told Nvidia to stop claiming the right to produce chipsets that would work on Intel's next generation processors.
Intel spokesman Chuck Mulloy said that Intel and Nvidia have been trying to resolve this "dispute" for "well over a year". But finally a suit was filed to seek a declaratory judgment. In response to the suit Nvidia CEO responded, "At the heart of this issue is that the CPU has run its course and the soul of the PC is shifting quickly to the GPU. This is clearly an attempt to stifle innovation to protect a decaying CPU business."
But how did all this start? Let's look back at certain events to see how the squabble began. Last year, Apple had dumped Intel for Nvidia to add more graphics power in their unibody MacBooks and MacBook Pros. After that Nvidia launched their Ion platform featuring Intel Atom CPU paired with Nvidia GeForce 9400M graphics chip. However, Intel didn't like their idea of the GeForce 9400M powered pico-ITX form factor Ion platform and didn't validate it.
The battle is open and clear. The graphics major is bullish over GPUs slashing processors for videos, audio and other graphics intensive tasks. On the other end, Intel seeks legal word on the agreement causing the dispute.