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In a surprising move by Intel, the silicon giant filed a lawsuit against NVIDIA corporation at the Court of Chancery in the State of Delaware, over the chipset licensing agreement between the two companies, that allows NVIDIA to make core-logic (chipset) for Intel microprocessors. Intel's contention states that the licensing agreement signed between the two companies about four years ago, that allowed NVIDIA to make nForce series chipset supporting Intel processors, does not cover the the privileges required by NVIDIA to prepare chipsets for Intel's new generation of processors that feature integrated memory controllers.
As of now, NVIDIA does not stand at the receiving end of any legal action, since the company has no chipset products either released, or in production, that supports Intel's Core i7 series processors. The legal-spat in the making, between the two companies, may however affect NVIDIA's possible plans to develop chipset products for Intel's new 45 nm and 32 nm processors. NVIDIA on its part, defends its position, dismissing Intel's claims. Jen-Hsun Huang, NVIDIA's president and CEO maintained that the license agreement negotiated earlier would still apply, though he did not miss the opportunity to affirm his beliefs that the focus on CPU being the soul (if not the heart) of the PC, is slowly yet surely shifting towards the GPU. "This is clearly an attempt to stifle innovation to protect a decaying CPU business" he said. According to the NVIDIA CEO, it is obvious that Intel fears the competition NVIDIA poses with its platform core-logic innovations, that it had to file the complaint. This spat between the two major computer hardware companies could get uglier in the days to come.
As of now, NVIDIA does not stand at the receiving end of any legal action, since the company has no chipset products either released, or in production, that supports Intel's Core i7 series processors. The legal-spat in the making, between the two companies, may however affect NVIDIA's possible plans to develop chipset products for Intel's new 45 nm and 32 nm processors. NVIDIA on its part, defends its position, dismissing Intel's claims. Jen-Hsun Huang, NVIDIA's president and CEO maintained that the license agreement negotiated earlier would still apply, though he did not miss the opportunity to affirm his beliefs that the focus on CPU being the soul (if not the heart) of the PC, is slowly yet surely shifting towards the GPU. "This is clearly an attempt to stifle innovation to protect a decaying CPU business" he said. According to the NVIDIA CEO, it is obvious that Intel fears the competition NVIDIA poses with its platform core-logic innovations, that it had to file the complaint. This spat between the two major computer hardware companies could get uglier in the days to come.
