Rumour: AMD and Nvidia slash 40nm chip orders

Written by Ben Hardwidge

February 19, 2009 | 15:09

Tags: #40nm #4890 #55nm #cut #demand #gpu #hd #radeon #rv740 #rv790 #rv870 #slash #weak

Companies: #amd #ati #nvidia #tsmc

Following recent reports about the market for GPUs dramatically shrinking at the end of last year, the rumour engine is reporting that Nvidia and AMD have slashed their orders for their forthcoming 40nm GPUs.

Taiwanese tech site Digitimes claims to have spoken to market sources who say that Taiwan Semiconductor Manufacturing Company (TSMC), which announced its 40nm facilities in March 2008, has now taken on ‘fewer orders from AMD and Nvidia than originally expected.’ This, says the site, is because both AMD and Nvidia are now becoming cautious because of the current economic climate.

In comparison to the two companies’ orders when moving to previous processor generations, the sources say that ‘orders for the 40nm segment have been scaled down by 30-40 per cent.’ Earlier today, Digitimes also claimed to have spoken to market sources who said that TSMC has cut its foundry prices by up to 15 percent for large-volume orders placed by major clients.

AMD and Nvidia haven’t officially announced which specific GPUs will be built on the new 40nm process yet, but the first products are expected to appear later this year. Earlier reports also suggested that AMD’s rumoured Radeon HD 4890 GPU will be built on a 55nm process, rather than a 40nm process.

Are you considering upgrading to a new graphics card this year, or are you going to cautiously watch the pennies? Let us know your thoughts in the forums.
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