Once the foremost chipset maker for AMD platforms and budget Intel systems, VIA's share of the core logic market has since been largely eaten away by Intel, AMD/ATI, and Nvidia. Today, DigiTimes quotes a report in a Chinese paper that says VIA plans to merge its chipset division with its microprocessor division and slowly phase out chipset products for third-party platforms.
The report follows rumors that said Intel was attempting to oust VIA from the x86 microprocessor market by threatening not to renew its license to produce Intel-compatible chipsets. According to DigiTimes, VIA is still in negotiations with Intel, but the Taiwanese company is unlikely to reap financial benefits from continued operation in the Intel-compatible chipset market—even if Intel does renew its license. Instead, DigiTimes says VIA will produce chipsets for its own processors and focus on the more profitable processor, communications, and multimedia markets.
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