AMD Buys ATI, Analysts Go Crazy

Utterly shocking news today from the world of hardware manufacturing, with word that AMD, Intel's greatest rival, has spent some $5.4 billion to purchase graphics card maker ATI. Rumors began to surface about a possible deal as early as May that AMD was looking to absorb ATI in order to buttress itself against its long-standing feud with Intel, further adding hope of "break[ing] the monopoly" [of Intel on the CPU market].

What this means for the future is still unknown, but talking heads (or, rather, typing fingers) are already pretending to know just what's going to happen. Apparently, the new entity will be looking at ways to try to put a GPU and a CPU on the same dye, which is pretty much sensational. Other analysts now predict that Intel will try to make a move for nVidia, just to keep up. See, with all this healthy competition, we'll just end up with one, ultra-powerful corporation.

In marriage of 'CPUs and GPUs,' ATI snapped-up by AMD. Is NVidia next? [ZDNet.com]