Nvidia talks of its cunning plans

The glorious Nvidia empire upon which the sun appears to be setting a lot lately, has been spilling the beans of its cunning plan for the future which seems to be betting the farm on technology that few seem to want.

Dear Leader Jen-Hsun Huang told Cnet that he wants to get into the CPU business as part of a plan to compete better against AMD with ATI in-house, as well as Intel.

Of course this means that Nvidia would require an x86 license and Intel is unlikely to want to give Jen-Hsun one so it is stuck with Tegra which is an ARM CPU paired to Nvidia’s GPU technology.

Now that Intel has killed off Nvidia’s chipset business, the fact is Tegra is all Nvidia has.

So last Thursday when Nvidia reported a second-quarter net loss of $141 million Jen-Hsun indicated that he is basically leaning on Tegra to pull the company’s nadgers out of the fire.

So will Tegra do anything to help? Tegra 2 is targeted at smartphones and tablets but its problem is that no one has signed up for it.

Huang insists that dual-core Tegra 2 chip, the AP20 for smartphones and the T20 for tablets, will be making an appearance. However,  few suppliers appear to be keen to get a product to market. 

One of the strange things that he has not done is look at what the market is doing. Nvidia has been typically targeting the top end of the market and has not really been working with the only player to make cash in that market, Apple.

Instead its main customers are the likes of HP and Dell and Apple who have seen cash strapped punters in Europe and China move lower-priced products. Places where Nvidia could have, but never went.  It is starting to look that if something is not done, Nvidia…..