IBM will manufacture next-generation graphics chips for NVIDIA, winning business away from NVIDIA's long-time partner, Taiwan's TSMC. IBM Corp. and NVIDIA have formed a multi-year strategic alliance, giving NVIDIA access to IBM's comprehensive suite of foundry services and manufacturing technologies, all the tools to help advance its graphics processor units. IBM will begin producing the next generation GeForce graphics processor this summer at IB in at its plant in East Fishkill, New York. The $2.5 billion chip-making facility combines IBM breakthroughs such as copper interconnects, silicon-on-insulator (SOI) transistors and low-k dielectric insulation 300mm wafers. Some industry observers suggest that IBM may be using in-house know-how to edge out subcontractors that do not design products of their own. For more on IBM go to www.ibm.com/chips and for info. On NVIDIA's visit www.nvidia.com.
