PSX5Central
Playstation/Gaming Discussions => Gaming Discussion => Topic started by: Chrono on April 29, 2002, 11:26:10 AM
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http://news.com.com/2100-1040-894090.html?legacy=cnet&tag=lthd
Graphics chipmaker Nvidia is in arbitration with Microsoft over the prices of chips Nvidia makes for Microsoft\'s Xbox game console, and a ruling in Nvidia\'s favor could have a "dramatic positive impact," its chief executive said Monday.
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nvidia was promised a certain amout of money for its chips and since the xbox is doing so piss poorly [© 2002 ooseven], m$ doesnt want to pay up
random quote
Less than two weeks ago, Microsoft lowered its own fiscal 2002 unit sales forecast for the Xbox by as much as 40 percent, blaming weak sales in Europe and Japan.
/me points and laughs
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From here: http://ccbn.tenkwizard.com/filing.php?repo=tenk&ipage=1724853&doc=1&total=&attach=ON&TK=nvda&CK=1045810&FC=000000&SC=ON&LK=0000FF&AL=FF0000&VL=800080
There can be no assurance that we [Nvidia] will prevail in the arbitration or continue to supply graphics and other processors for the Xbox. If we do not prevail, we may (i) be compelled to deliver Xbox processors at reduced pricing, resulting in reduced gross margins, or a loss, on such processors; (ii) be required to reduce production and delivery of other products in order to satisfy obligations to Microsoft; (iii) be required to pay significant damages to Microsoft; or (iv) be subject to other remedies that could have a material adverse impact on our business. Even if we do prevail, there can be no assurance that our business will not be materially harmed.
Ouch for both MS and Nvidia.
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yep, that\'s not good news at all. IMO, Xbox\'s future is looking more uncertain by the day. I wonder how much more Microsoft has to loose until they decide to drop Xbox...
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Ye Olde Microsoft saying Number 2
"if you can\'t beat them.....then don\'t pay your supplyers "
;)
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LoL, I can just see someone in the Redmond offices on the telephone:
Bill Gates with his voice disquised: "What? Microsoft? No. This is meheican resturant. No Habla Espaniol senoir. Wrong Number"
Nvidia: "What the hell are you babbling about. Look, I need to speak to a mister... Bill Gates... about a payment over due for a graphics processor on his Xbox."
Bill Gates: "Senior Gates no live here. Wrong number. You want order burrito? Enchelada?"
Nvidia: "You can\'t fool us Mr. Gates. We know that\'s you. We\'ll be over in two hours with baseball bats....."
Bill Gates: "Oh sh*t.. Hey Balmer.. Yeah you. Sit here, wear these glasses, and look geeky for few minuites.. I gotta.. um.. go to the bathroom. Yeah, that\'s it... Be RIGHT back...."
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Lol...
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yeah, its bad enough they dont want to admit the xbox is doing piss poor [© 2002 ooseven] that now they dont want to have to fess up and pay for the technology inside
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Typical MS.. haha..
So...damn...funny..
:cool:
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*gloats*
HA HA!
Yay! :D
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I still can\'t see why its doing so badly though. After the recent price drop here in the UK, I think sales will pick up more (maybe), I mean, it convinced me to buy one...... sort of....... I think the beer convinced me more tho :D
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so..
if Nvida wins.. what happens?
if NVidia loses.. what happens?
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if nvidia wins, m$ loses even more money
if nvidia loses, nvidia loses money
either way, you wont see any nvidia product in xbox2, if such a thing will ever exist
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Originally posted by Rick
I still can\'t see why its doing so badly though. After the recent price drop here in the UK, I think sales will pick up more (maybe), I mean, it convinced me to buy one...... sort of....... I think the beer convinced me more tho :D
I think the main reason it\'s doing so poorly is because people are unsure of its future. With the price drop only a month after it\'s launch, I\'m sure people\'s trust in the system lowered even more. Microsoft has dug themselves into a hole by releasing the console in Europe for too much money, and they might already be too deep to get back out again.
Microsoft was planning on doing well in Europe even with selling it at the really high price. When they realized that that wasn\'t going to work and decided to drop the price, they wanted Nvidia to drop their prices also to help recover from the lost profits. Of course Nvidia doesn\'t want to drop their price though, and unless it was in their contract that Nvidia had to drop their price, I don\'t think Microsoft can do anything about it except for sit around and cry.
If Nvidia wins --
- M$ loses money
- M$ continues to take them to court until they get what they want. ;)
- Bill Gates kills himself after realizing he can\'t push people around in the video game industry like he could in the computer industry, and after realizing he has an ugly 500 dollar haircut. ;)
If Nvidia loses --
- Nvidia loses money and gets POed at Microsoft. It will only go downhill from there.
Like MM said, either way the friendship between these two companies will probably be broken, and any future relations are not very likely.
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This reminds me of the Squaresoft / Nintendo relationship. Just now asre they beginning to patch things up. Looks like it may be 10-20 years before NVIDIA and Microsoft will work fondly together again.
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Does anybody know whether this could be just a legal maneuver to help both companies pad their earning reports for the fiscal year. The timing seems awfully suspicious.
More bad MS PR anyway you slice it
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If Nvidia loses allot of money on this blunder their future graphic card products will suffer from the losses, M$ might drag Nvidia down if they dont watch out.
Either way it sucks for both sides
Am I happy I got a ps2 :D
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Originally posted by IronFist
Like MM said, either way the friendship between these two companies will probably be broken, and any future relations are not very likely.
hey you never know ...maybe Gatesy will make the innerds of the X box himself ;)
/me wonders if he has a Qualification in Soldering and circuit board design like me*....
hey maybe i coud build him some boards while i am drunk on Friday or Saturday night
;)
*its true i have a ScoVec module in Soldering and circuit board design back in 1993 , got it in Secondary School (UK version of high School).
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This reminds me of the Sony/Nintendo relationship when they were working together to build the Playstation. And then... well, we all know what happens.