Nvidia to acquire ULi for US$52 million, gunning for ATI

Vikingod · Dec 14, 2005, 02:05 PM

Nvidia will acquire chipset maker ULi Electronics for US$52 million in stock, according to a company press release. The takeover is expected to take effect from the first quarter of Nvidia’s 2007 fiscal year (ends May 1, 2006), said the company. ULi declined to comment prior to a press conference to be held this afternoon.

Through the acquisition, Nvidia is hoping to weaken ATI’s presence in the global chipset market, noted industry sources. ULi currently supplies southbridge chips for use with ATI Technologies’ Pentium 4 northbridge chips. A December 7 article pointed out that ATI may bump Silicon Integrated Systems (SiS) from being the third-largest core-logic chipset supplier worldwide this quarter. An estimate by Mercury Research stated that ATI’s ranking in the global core-logic chipset market will climb to third place in the first quarter of 2006 with a 15% market share, followed by SiS with 12%.

ATI Taiwan declined to comment.
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Read More / Source: DigiTimes

Chaos · Dec 14, 2005, 02:15 PM

that's not good, I hear lots of good things about the ULi chipsets.

Matth · Dec 14, 2005, 03:14 PM

Bad news for choice, unless they consider their overall share will be larger with two competing chipsets.

On the other hand, if it means a Nvidia qualified and supported SLI for the new chip, that puts it, and Nvidia graphics cards, in a stronger position.

I think it would serve their purpose better to have people playing the NVidia and ULI solutions against each other, when only those who can be bothered looking will know that they are both under the same roof.

Vikingod · Dec 14, 2005, 03:25 PM

I have mixed thoughts on this one. I suppose its the natural progression of business, but not ever good for competition. This should make ATI sweat a bit I think. NVIDIA does make great products, so I dont see it as being a step back, only somethign that help nvidia customers.

riles9262 · Dec 14, 2005, 06:22 PM

Too bad for the consumer I'll say. It's nice to have choice for features and to keep costs lower. From current experience, the uli chipset is great, and very stable.

The_Neon_Cowboy · Dec 14, 2005, 06:31 PM

an act of "desperation" seems ATI is kicking thier arse and a real "danger"
or takeing over domnace in motherboard the market. This is the useal stace
of nvidia as they worried about 3dfx they bought them out too.... They by the
competition becouse it easiler then puting out a better product.... Why come
also up with new stuff you self when you can buy it and take credit for it?
(parts of makes up of the FX line came from thier 3dfx acusition...)

doesn't suprize me though, just underhanded bussness as usual....

BulletTheory · Dec 14, 2005, 06:55 PM

Quote:

Originally Posted by riles9262

Too bad for the consumer I'll say. It's nice to have choice for features and to keep costs lower. From current experience, the uli chipset is great, and very stable.

Thats the problem... Not many choices and High prices.

The_Neon_Cowboy · Dec 15, 2005, 06:50 AM

I just thoyght of something else all the board with ULI chipsets
who want to bet nvidia dixked them over in regard to driver
support.... meaning like no vista drivess etc...

If they do I will very verry be

@ NV

Dec 14, 2005, 02:05 PM	#1
Vikingod Int'l Fish Liaison Join Date: Jul 2004 Location: By the light of lamp I sit and type... Posts: 16,197 Rep Power: 112 System Specs	Nvidia to acquire ULi for US$52 million, gunning for ATI Nvidia will acquire chipset maker ULi Electronics for US$52 million in stock, according to a company press release. The takeover is expected to take effect from the first quarter of Nvidia’s 2007 fiscal year (ends May 1, 2006), said the company. ULi declined to comment prior to a press conference to be held this afternoon. Through the acquisition, Nvidia is hoping to weaken ATI’s presence in the global chipset market, noted industry sources. ULi currently supplies southbridge chips for use with ATI Technologies’ Pentium 4 northbridge chips. A December 7 article pointed out that ATI may bump Silicon Integrated Systems (SiS) from being the third-largest core-logic chipset supplier worldwide this quarter. An estimate by Mercury Research stated that ATI’s ranking in the global core-logic chipset market will climb to third place in the first quarter of 2006 with a 15% market share, followed by SiS with 12%. ATI Taiwan declined to comment. __________ Read More / Source: DigiTimes

Dec 14, 2005, 02:15 PM	#2
Chaos Number Nine Join Date: May 2002 Location: Nova Scotia Posts: 5,268 Rep Power: 167 System Specs	that's not good, I hear lots of good things about the ULi chipsets. __________________

Dec 14, 2005, 06:22 PM	#5
riles9262 Driverheaven brewmaster Join Date: Oct 2002 Location: British Columbia, Canada Posts: 4,842 Rep Power: 72 System Specs	Too bad for the consumer I'll say. It's nice to have choice for features and to keep costs lower. From current experience, the uli chipset is great, and very stable. __________________ A beer a day keeps the doctor away.

Dec 14, 2005, 06:31 PM	#6
The_Neon_Cowboy HardwareHeaven Extreme Member Join Date: Dec 2002 Location: U.S.A. Posts: 16,009 Rep Power: 92 System Specs	an act of "desperation" seems ATI is kicking thier arse and a real "danger" or takeing over domnace in motherboard the market. This is the useal stace of nvidia as they worried about 3dfx they bought them out too.... They by the competition becouse it easiler then puting out a better product.... Why come also up with new stuff you self when you can buy it and take credit for it? (parts of makes up of the FX line came from thier 3dfx acusition...) doesn't suprize me though, just underhanded bussness as usual.... __________________

Dec 15, 2005, 06:50 AM	#8
The_Neon_Cowboy HardwareHeaven Extreme Member Join Date: Dec 2002 Location: U.S.A. Posts: 16,009 Rep Power: 92 System Specs	I just thoyght of something else all the board with ULI chipsets who want to bet nvidia dixked them over in regard to driver support.... meaning like no vista drivess etc... If they do I will very verry be @ NV __________________

Dec 14, 2005, 03:14 PM	#3
Matth Flash Banner Hater Join Date: Jun 2002 Location: UK Posts: 3,426 Rep Power: 93 System Specs	Bad news for choice, unless they consider their overall share will be larger with two competing chipsets. On the other hand, if it means a Nvidia qualified and supported SLI for the new chip, that puts it, and Nvidia graphics cards, in a stronger position. I think it would serve their purpose better to have people playing the NVidia and ULI solutions against each other, when only those who can be bothered looking will know that they are both under the same roof.

Dec 14, 2005, 03:25 PM	Thread Starter #4
Vikingod Int'l Fish Liaison Join Date: Jul 2004 Location: By the light of lamp I sit and type... Posts: 16,197 Rep Power: 112 System Specs	I have mixed thoughts on this one. I suppose its the natural progression of business, but not ever good for competition. This should make ATI sweat a bit I think. NVIDIA does make great products, so I dont see it as being a step back, only somethign that help nvidia customers.