Nvidia must supply Xbox chips
seattlepi | at | by Mike
Nvidia the sole supplier of graphics chips for Microsoft Corp.'s Xbox video-game console, must keep selling processors to the software maker as the companies try to settle a pricing dispute, an arbitrator ruled. In an interim ruling, the panel said Nvidia must supply Microsoft's "reasonable requirements of chipsets," without specifying the exact quantities, according to an Nvidia filing with the U.S. Securities and Exchange Commission. The ruling was made July 18, Nvidia spokesman Derek Perez said.
Microsoft claims it should have paid at least $46 million less than it has for chips used to generate graphics in the Xbox, the filing said. In April, Microsoft asked an arbitration panel to order Nvidia to cut prices and supply as many chips as necessary. Perez said the company had no intention of stopping sales of chips to Microsoft.