Microsoft Dandles ATI on Lap

After a long and drawn out quarrel between Nvidia and Microsoft ATI has stepped in to make the graphics chip for the next Xbox system. With back slapping all around, both companies agree that ATI is the greatest video card company ever.

Â"Microsoft shares our passion for cutting-edge innovation,Â" said K. Y. Ho, chairman and chief executive officer, ATI Technologies Inc. Â"Our success working with Microsoft in the past gives us great confidence as we move forward, and our broad experience and wealth of engineering resources will ensure that we deliver. This agreement cements ATIÂ's position as the prime graphics supplier for the future of the games industry.Â"

Of course this more than likely means Nintendo won't be showing the ATI logo on their next console. Will Nintendo take Nvidia, Microsoft's sloppy seconds? Only time will tell.

Comments

...said K. Y. Ho...



Er, um... is that a name you would want to keep, particularly when you have a speaking role at your company?

Ati is doing the hardware for Nintendo too.

I'm curious if the previous ATI commitment to Nintendo will stick now that this deal has gone down.  I cant imagine it would sit well with the powers that be in Redmond that Nintendo features ATI in their next gen console also.

Unless ATI is so alone on top of the hill with their AIW product that Microsoft really has no choice but to take it.  Which could be as Nvidia really has no AIW product that can be taken to market for Xbox 2's all-in-one strategy.

Amazing how quick the tide can turn. 

Ati can provide both companies cards. Nintendo uses ArtX which ATI picked up right before the GC launch.

I understand that.. What I'm saying is that I can't imagine it rests well for Microsoft to see ATI Video in another console that they compete with..

Of course ATI could provide video for all gaming consoles..but I just find it hard to believe MS would stand for it.

MS doesn't have much of a choice. It is an Ati deal not a MS deal. MS cannot cancel a contract or pay Ati to back out, Nintendo would sue. It would delay the production of the GC2 and the games already in development for the platform.

MS most likely has no problem with it since Nintendo was working with Ati before them. Two different teams are working on each console, ATi California is working on the GC2 and Ati Canada is working on the Xbox.

As yet another disappointed owner of the first Xbox, I can say one thing with total confidence about gaming consoles:

The next one I buy will be the PS3.

Once burned twice shy.

 

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--Popo

"Remember, its not an X-box, its a Halo machine"