Sony Signs New Chip Deal With Nvidia News
Jon Wilcox
28/03/2006
The creators of the PlayStation3's graphics processor sign a new design deal with Sony...
So it might have taken a few days for us to pick up on this story, but it's a case of better late than never...
According to reports on global news outlet Reuters, graphics chip manufacturer Nvidia has signed a new design deal with Sony until 2007, although specific details surrounding the deal are yet to be announced. Financial arrangements of the deal were also held back, although it was confirmed that Nvidia would earn more from the new deal than the $30 million it earned from developing the RSX graphic chip for PlayStation3.
Announcing the deal, Nvidia's Chief Financial Offier Marv Burkett said, "We had anticipated that (contract revenue) would drop off, but that's not going to happen...We have new contracts with Sony to do some further designs."
In addition to the new deal, Nvidia is also set to earn royalties from Sony for the RSX chip through to 2009, though the amount will remain a small wedge in the company's income.
We'll have more news shortly...