NVIDIA Inside?

Is NVIDIA planning to enter the x86 chip business? Could you soon be buying a PC that has NVIDIA inside?

Here's the scoop, thanks to the EETimes:

”We believe Nvidia could enter the x86 CPU business,” said analyst Doug Freedman of Broadpoint AmTech. ”Nvidia could become a supplier of x86 CPUs by necessity to preserve both GPU and chipset revenue.” Nvidia (Santa Clara, Calif.) has been quietly hiring former employees of Transmeta, a now-defunct, x86-based processor supplier. ”We believe internally developed x86 solutions are more likely than external acquisitions (i.e. Via Technologies),” he said in a new report, referring to rumors that Nvidia would acquire Taiwan’s Via. ”We believe that Nvidia has hired former Transmeta staff extensively, and that instruction code “morphing” requirements have declined as more x86 instructions have come off of patent coverage,” he said.

When you think about it, it makes a lot of sense. ATI has the backing of chipmaker AMD, and games aren't driving high-end GPUs sales like they once did. Adding a chip arm could allow NVIDIA to push out platforms much in the same way AMD has been doing for a few years. It could also give the company an interesting advantage when it comes to netbooks and mobile devices too.

This is something we should be keeping an eye on because it could get very interesting.