Tuesday, May 19th 2009

NVIDIA Accuses Intel of Anti-Competitive Pricing for Atom Processor

Intel was recently awarded a fine of over a billion Euros by the EU for anti-competitive malpractices in the EU. Speaking at Reuters Technology Summit, NVIDIA CEO Jen-Hsun Huang accused Intel of anti-competitive pricing for the Intel Atom processor, although made it clear that NVIDIA won't be pressing charges any time soon.

According to NVIDIA, Intel sells an Atom processor typically for US $45 a piece, while in a bundle with Intel's own chipset consisting of an i945-class northbridge and ICH7-class southbridge for just $25, that's $25 for the processor and Intel chipset. This is driving away motherboard manufacturers from opting for Intel Atom paired with NVIDIA's single-package Ion chipset, which NVIDIA claims, (and reviews have shown,) to offer superior performance and features at almost half the board footprint. "That seems pretty unfair," Huang said. "We ought to be able to compete and serve that market."

Intel was quick to dismiss Huang's accusation. "We compete fairly. We do not force bundles on any computer makers and customers can purchase Atom individually or as part of the bundle," said Bill Calder, a spokesperson for Intel. "If you want to purchase the chip set, obviously there is better pricing." NVIDIA made it clear it doesn't have any immediate plans to lock onto Intel in (yet) another anti-competition case. "I hope it doesn't come down to that," Huang said. "We have to do whatever we have to do when the time comes. We really hope this company [Intel] will compete on a fair basis," he added.
Source: Reuters
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92 Comments on NVIDIA Accuses Intel of Anti-Competitive Pricing for Atom Processor

#51
GSG-9
iStinkYeah this kind of thing could come back and bite them in the butt in the future. Imagine what would happen if nvidia got so fed up with this, they invested a ton of money making their own cpu, and it ran just as good if not better than the atom processor? All it would take is for Microsoft to piss them off and have them run to android for two of the biggest giants to be pushed out of the market lol. I gotta get my head out of the clouds.
Its impossible for Nvidia to get an x86 processor license right now. :ohwell:
Posted on Reply
#52
a_ump
lol 2 for 1 would mean that you purchase the atom+chipset for $45 as that is 2 for 1(atom is $45) but they lowered it to $25 if you opt to grab their chipset as well. makes it more like 2 for .6 :laugh:. hum now i don't really see any wrong in this, does anyone know the price of the atom+ION? i mean it is by far better than the 945, so naturally the 945 should be a cheaper option but getting the chipset for free and cutting the price of the purchase of Atom+945 to 55.5% of JUST the atom itself....yea lol they're definitely operating at loss just to keep marketshare. Though i personally do not see it as illegal(stating opinion as i don't know the law :p)
Posted on Reply
#53
TheMailMan78
Big Member
btarunrPlease refrain from personal insults.
This is serious business Bta. Personal insults are 100% necessary when talking about silicon and multi-billion dollar companies that could give two rats asses about what we think.
Posted on Reply
#54
btarunr
Editor & Senior Moderator
TheMailMan78This is serious business Bta. Personal insults are 100% necessary when talking about silicon and multi-billion dollar companies that could give two rats asses about what we think.
Take to the streets, not forums.
Posted on Reply
#55
iStink
GSG-9Its impossible for Nvidia to get an x86 processor license right now. :ohwell:
What if they worked with VIA? VIA has a license...
Posted on Reply
#56
TheMailMan78
Big Member
btarunrTake to the streets, not forums.
Are you saying I can riot in the steets in the name of Intel? A nerd stampede per say?
Posted on Reply
#57
mdm-adph
iStinkI don't know though. If it were illegal nvidia would take them to court. If you had proof that someone hit your car, why wouldn't you do anything about it? You think nvidia is ran by a bunch of pushovers?
Not if the person who hit my car was a 500-ton guerrilla (Intel) who threatened to rip my arms off and beat me to death with them if I told the cops. I wouldn't -- you wouldn't -- Nvidia wouldn't. Like I've said before, real life isn't Hollywood -- the little guy usually loses.

Just because you realize you can't win and thus don't fight doesn't make you a pushover.

And as far as Nvidia suing -- that could still be yet to come. Oddly enough, I could end up in the odd position of defending Nvidia here in this forum. :laugh:
Posted on Reply
#58
iStink
mdm-adphNot if the person who hit my car was a 500-ton guerrilla (Intel) who threatened to rip my arms off and beat me to death with them if I told the cops. I wouldn't -- you wouldn't -- Nvidia wouldn't. Like I've said before, real life isn't Hollywood -- the little guy usually loses.

Just because you realize you can't win and thus don't fight doesn't make you a pushover.

And as far as Nvidia suing -- that could still be yet to come. Oddly enough, I could end up in the odd position of defending Nvidia here in this forum. :laugh:
:laugh: good point
Posted on Reply
#59
GSG-9
iStinkWhat if they worked with VIA? VIA has a license...
VIA's C7 series of mobile processors are amazingly efficient @ around 2watts. If they did create a chipset that ran 2 or 4 C7 processors for a netbook or laptop it could do quite well. That is if VIA and Nvidia can play nice together, right now VIA makes there own chipset for the C7s.
Posted on Reply
#60
lemonadesoda
This is what Intel is doing to BLOCK nV's ION entirely out of the Atom platform:



With PINETRAIL, Intel will do away with the "northbridge" and bring it on die just like i5. No more FSB. ie. ION has nothing to connect to.

Sneaky b4st4rds.

Intel is trying very hard to squeeze nV out of the market entirely; with Larabee and Tera-Scale trying to take out CUDA, and PineTrail to take out ION, and i5 to take out nV chipsets in the consumer segment.
Posted on Reply
#61
GSG-9
lemonadesodaThis is what Intel is doing to BLOCK nV's ION entirely out of the Atom platform:

With PINETRAIL, Intel will do away with the "northbridge" and bring it on die just like i5. No more FSB. ie. ION has nothing to connect to.

Sneaky b4st4rds.
Making the product sold obsolete is a good way to put someone out of a certain business. Good thing Nvidia dabbles in many areas.
Posted on Reply
#62
a_ump
lemonadesodaThis is what Intel is doing to BLOCK nV's ION entirely out of the Atom platform:

img.techpowerup.org/090519/Capture027791.jpg

With PINETRAIL, Intel will do away with the "northbridge" and bring it on die just like i5. No more FSB. ie. ION has nothing to connect to.

Sneaky b4st4rds.

Intel is trying very hard to squeeze nV out of the market entirely; with Larabee and Tera-Scale trying to take out CUDA, and PineTrail to take out ION, and i5 to take out nV chipsets in the consumer segment.
eh, i thk your wrong on the part of no northbridge. Just because you remove the FSB and memory controller is moved on die, doesn't mean the northbridge is non-existant. the northbridge still handles communication between attachable peripherals like usb and whatnot. So there should sitll be a northbridge, just a smaller die/chip than perviously. And i5 isn't doing anything to nv chipsets lol. Idk bout nettop's and those small ass itx board and whether they have southbridges, but the northbridge also handles communication between the SB and CPU, and the SB handles the PCI bus and whatnot. So northbridge isn't going anywhere soon, if anything the southbridge will be gone first with everything on the northbridge. Why would you thk i5 was to take out nv chipsets if i7 didn't? lol i5's just he mainstream market of intels new nehalem architecture
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#63
DaC
New obsolete old tec..... pinetrail is a joke in my opinion.
Today I started to think: Hunh... I can see AMD and Nvidia team up in the future.
Posted on Reply
#64
a_ump
not to mention, unless intel creates a mini larrabee for socket 775, the pinetrail's expected integrated GPU i gaurentee is still going to fail compared to what nvidia's offering will be.
Posted on Reply
#65
GSG-9
Ok thats good, I also thought Pinetrail still needed a Northbridge before that post but have not looked it up, The FSB used to be on the CPU back in the day I believe. :)
Posted on Reply
#66
cdawall
where the hell are my stars
YukikazeIn other words: nVidia wants to dictate how Intel should sell its products.

If Intel only sells the Atom with their chipset, it is their choice, not that of nVidia, or anyone else for that matter.
well considering they have given nv the license to produce the chipset they are now using there shit chipset to keep them out of the market by effectively giving it away this means that instead of a low watt high performance system you get a higher watt lower performance system. :wtf: i call BS and think NV should file suit against them
Posted on Reply
#67
lemonadesoda
a_umpeh, i thk your wrong on the part of no northbridge. Just because you remove the FSB and memory controller is moved on die, doesn't mean the northbridge is non-existant. the northbridge still handles communication between attachable peripherals like usb and whatnot.
That's called the southbridge.

(What they call it now, when there is no northbridge, is ...?)
Posted on Reply
#68
a_ump
what handles the PCI-E slots? isn't that the northbridge. i knew there was one other thing that the northbridge did besides cpu to ram and sb to the cpu. i should know i researched it for my junior paper lol memory just fails...dam u mary :laugh:
Posted on Reply
#69
Hayder_Master
mmmm , nvidia plan made cpu , so with this prices no chance for sell
Posted on Reply
#70
extrasalty
Considering this must be one of the first times numbers were mentioned about Atom/Ion, I think nVidia is going on record for a future lawsuit. One nasty thing about the EU is that they like to do follow up on the convicted companies (i.e. Microsoft) and subsequently more fines will follow if the behavior remains unchanged. And the US case is still coming in 2010. Intel could have avoided all this and possibly double the Atoms sold, but my suspicion is they make better margins from the i945 than the Atom itself.
Posted on Reply
#71
a_ump
extrasaltyConsidering this must be one of the first times numbers were mentioned about Atom/Ion, I think nVidia is going on record for a future lawsuit. One nasty thing about the EU is that they like to do follow up on the convicted companies (i.e. Microsoft) and subsequently more fines will follow if the behavior remains unchanged. And the US case is still coming in 2010. Intel could have avoided all this and possibly double the Atoms sold, but my suspicion is they make better margins from the i945 than the Atom itself.
how do u figure? the 945 is now coming basically free. how much is ION as itself and the i945 by itself anyone know?
Posted on Reply
#72
IcrushitI
Its a dog eat dog world and these big boys believe that you can do anything you want untill you get caught. After that the fines dictate whether they stop or not. Compared to their cash flow most of these fines are a slap on the wrist and a tax write off on their business expense. Since the CEO is not personally accountable (no money out of his pocket) life goes on to repeat its self over and over again.
Posted on Reply
#73
soryuuha
Intel own atom and the platform. Intel can do whatever they want. lol.
Posted on Reply
#74
FordGT90Concept
"I go fast!1!11!1!"
btarunrAccording to NVIDIA, Intel sells an Atom processor typically for US $45 a piece, while in a bundle with Intel's own chipset consisting of an i945-class northbridge and ICH7-class southbridge for just $25, that's $25 for the processor and Intel chipset.
It sounds like OEM vs Retail.

Retail you get a fancy box, the processor, and a three year limited warranty.

OEM, you get an anti-static bag, processor, chipset, and 30-day limited warranty.

If I were an OEM, I'd be buying the OEM package for $25 and putting in whatever chipset has the features I want to offer. Heh, NVIDIA should start a buy-back program buying up unused (really involves just covering shipping costs), bundled chipsets and sell them back to Intel for a profit so Intel can rebundle them with new processors. Intel would get the message sooner or later. ;)
Posted on Reply
#75
cdawall
where the hell are my stars
soryuuhaIntel own atom and the platform. Intel can do whatever they want. lol.
not really if you were given premision to make shirts with my pants and you spent a ton of money and developed a better shirt than me and i went and said well hey my shirt sucks ass but i have a ton of them and you can not only get them for free but i will give you a discount on my pants as well.


do you think someone would have an issue with that? you just spent your development money making me shirts and i went and said hey f*** you your shirt means i can't sell my shitty ones so i'm going to cut you out of the business. that is anti competition and intel should have to answer to that.
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