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New ATI Design Wins Bad News for Nvidia - Analyst

Time: 03:32 EST/08:32 GMT | News Source: Reuters | Posted By: Alex Harris

Two new design wins for graphics chip maker ATI Technologies Inc. are a bad sign for competitor Nvidia Corp. , as the wins will eat at Nvidia's market share, an analyst said on Thursday. On Thursday, ATI said its chips would power new computers from both Apple Computer Inc. and Hewlett-Packard Co. The company also said it has shipped its new, widely-anticipated high-end graphics chip to retailers.

ATI said its Radeon 9000 Pro chip is now shipping as the standard graphics component in Apple's new Power Mac G4 line of computers, designed as advanced workstations with dual processors and advanced memory capacity. ATI also said HP has selected the Radeon 9700 line for a series of computers under its Compaq Presario 8000 Series brand to be released later this year. Credit Suisse First Boston analyst Tim Mahon, in a research note on Thursday afternoon, said the new deals displaced Nvidia from the standard configurations of both computer lines.

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