Information

X-bit Labs for mobile users! Do not forget that we are running a special version of X-bit Labs web-site for users of mobile and handheld devices: http://pda.xbitlabs.com. Check out our news and articles from smartphones and PDAs to be always updated on the latest computer and technology news.

Video

TYAN Resigns from Graphics Cards Business.

Server Company Pulls Back from Consumer Market

Category: Video

by Anton Shilov

[ 05/31/2004 | 12:04 PM ]

A well known server manufacturer TYAN recently said it would not produce any new offerings for the graphics cards market because of unprecedented competition in the market. The company’s claim follows some other makers of graphics cards who recently decided to pull back from the business.

<%BANNER[article_nw]%>

Strategic Plans Modified

TYAN entered the market of graphics cards in mid-2002 after some hesitations. The firm utilized graphics processors from ATI Technologies for its products, but embedded certain additional capabilities on its boards, such as hardware monitoring, bringing exclusive products into the market.

In an attempt to boost its competitiveness TYAN established an R&D center in Taiwan that should develop consumer oriented products like graphics cards, uni-processor mainboards, server barebones as well as some other hardware employing 40 to 50 engineers. That time it was said that expansion in Asia meant the company intended to aim at the market of consumer personal computers, not only server and workstation market.

CoolTechZone web-site reports that TYAN is still excited about uni-processor mainboards, but will no longer produce graphics cards. According to the report, TYAN faced extremely strong competition from other makers of graphics cards, which may either erode totally profits or to lower the gross-margins to very low level.

Smaller Graphics Cards Vendors Leave the Market?

Earlier this year Guillemot Corporation and Terratec elected to progressively withdraw from the graphics card business, which have been producing very weak gross margins, in order to mobilize all of their resources towards the development of markets with strong potential. According to official statements, both companies will concentrate on audio- and multimedia-related offerings.

X-bit labs believes that the trend when minor producers of graphics cards choose to resign from the market will continue. Development, production and engineering costs of modern graphics processors and cards are soaring, which makes graphics cards more expensive to produce. As a result, smaller players focused on strong gross-margins are likely to exit the field with relatively low profits.

Discussion

Comments currently: 0

Add your Comment

Name/Nickname
Your Comments
 

News Archive

Video

May, 2004
      
1
234
5
6
7
8
910
11
12131415
16
17
18
19
20
2122
23
24
252627
28
29
30
31
     
 
< April, 2004 June, 2004 >
 

Latest News

Thursday, May 15, 2008

11:11 pm | CPU Via Technologies Reportedly Readies Dual-Core Microprocessors. Via’s Dual-Core Chips Set to Come in 2009 – Rumours

11:21 am | Other AMD’s Plans to Build Fab in New York Are “Moving Along”. AMD Still Intends to Build a Fab in the USA

Wednesday, May 14, 2008

11:11 pm | Storage DVD Will Remain Primary Optical Storage Media on PC Market Till 2012 – IDC. Analysts Expect DVD to Dominate in PC Space Till 2012, Despite of Blu-Ray Ramp

5:41 pm | Mobile OCZ Offers Enthusiasts “Do-It-Yourself” Notebooks. OCZ to Allow Gamers to Build Their Own Laptops

Tuesday, May 13, 2008

11:46 pm | Other Dell Denies Abandon of XPS Gaming PC Brand. Dell Plans to Invest “Like Crazy” into Alienware, but Leave XPS in Place

10:25 pm | Mobile MSI’s Wind Set to Start Blowing in June, Specifications Transpire. MSI Preps to Launch “Wind” Laptops in June

4:25 pm | CPU Nvidia Has No Plans to Take Over Via Technologies, Says Chief Exec. Nvidia Denies Intentions to Buy Via Technologies – CEO

11:34 am | Other HP Acquires Electronic Data Systems Service Company. HP Takes Over EDS for $13.9 Billion to Boost IT Service Business

 
News Archive