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AMD's Fusion to challenge Intel and Nvidia
By siliconindia   |   Tuesday, 15 June 2010, 23:05 IST   |    6 Comments
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AMD's Fusion to challenge Intel and Nvidia
Bangalore: AMD is set to compete with its counterparts Intel and Nvidia in the notebook and graphics processor markets with the launch of Fusion processor, which combines central processing unit and a graphics processing unit in a single silicon die. Fusion is expected to be launched in 2011 with two variants: a 4-core for mainstream notebooks and desktops and a dual-core version for netbooks and other smaller mobile internet devices. With software developers such as Adobe, Microsoft, Arcsoft, Corel and Cyberlink already backing Fusion, the market will get tougher for Intel and Nvidia. AMD claims high performance and low power consumption for its Fusion processor. Processors like Fusion allow PC users to run high definition videos or play graphics intensive video games on a single Fusion processor and reduce the need for a separate graphics card. Fusion presents an opportunity for AMD to challenge the dominance of Intel in CPUs and Nvidia in graphics processors, especially in the market for portable device processors. Intel's Core series processors are used in around 80 percent of the notebook PCs globally, making this business the most valuable to Intel's stock. Although Intel's processors are preferred by many PC makers over those of AMD, Intel loses ground when it comes to graphics processing. Notebook users who need to run graphic intensive programs either have to buy Intel's integrated graphics processor, which reduces processing speed and consumes more battery, or purchase an additional discrete graphic processors (from a company like Nvidia), which increases total cost. Nvidia dominates the discrete graphics processor market through its GeForce cards and has more than 65 percent share of total graphic cards shipped. With the launch of its Optimus technology last quarter, Nvidia is trying to increase its foothold among notebook users. However, with AMD's latest Radeon graphic cards slowly catching up with Nvidia's processor performance and gaining attention among gaming enthusiasts, the competition is likely to get tougher. Fusion processor may put more pressure on Nvidia market share. While Intel leads in the notebook processor market and Nvidia in the graphics processor market, neither of them has significant presence in each others' category. Intel has not been able to build a powerful discrete graphics card while Nvidia has never ventured into the main processor segment.

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