THERE have been a lot of rumours about ATI and XGI. The smaller graphics player was acquired by ATI but the red boys just took over the Shanghai and USA based teams. We are talking about roughly 100 people in China and much less in the USA. XGI actually was trying to find the way to exit the graphic business. XGI will remain in business, but it will rather do some embedded production and will try to do custom designs for the specific customers. The company learned that this can actually get them some money and they do need to be more profitable.
Source: theinquirer.net
Discuss in Forums