AMD buying ATI, sure … What About Intel Buying NVIDIA?

By Michael Santo
Executive Editor, RealTechNews

Sure, AMD and ATI was exciting. But what about the latest rumor? Intel buying NVIDIA.

Nvidia Corp. shares climbed more than 8 percent on Wednesday amid speculation the graphics chipmaker could be acquired by Intel Corp. , traders said. Investors have been speculating that Nvidia might be acquired since July, when Advanced Micro Devices Inc. agreed to buy Nvidia rival ATI Technologies Inc. for $5.4 billion. Rumors of such a transaction resurfaced on Wednesday, spreading quickly across Wall Street trading desks, according to three options market participants.

Some observers said that they doubt Intel would buy Nvidia because it’s too expensive. The company has a stock market capitalization of about $10 billion, which means it would demand a far higher price than what AMD is paying for ATI. Source: Reuters

We Say: I’ve always like NVIDIA graphics cards better than ATI … and the nForce motherboards … love ‘em. This would be the perfect answer to the AMD - ATI bonding … but is it indeed too expensive? Time will tell.