ATI Next-Gen R520 chip in trouble?

[tranCendenZ]

With the launch of the 24-pipeline Nvidia GeForce 7800GTX (G70) looming in just a couple of weeks (6/21), ATI has nothing to offer in terms of competition. The question is why... Some theories have now popped up:

http://www.penstarsys.com/editor/company/ati/r520/index.html

It has been widely commented on that TSMC’s 90 nm Low-K process is actually quite robust, and the yields and bins are better than expected with such a new and complex process. So if ATI’s R520 taped out so long ago, and TSMC’s process is running at a higher efficiency than expected for this time frame, where are the R520 parts? The information I have received paints a rather grim picture for ATI. Add to that the recent information released by ATI about the lower than expected revenues due to product pressure and poor yields and packaging problems, things are not as happy as they should be.

The information on the R520 suggests that there are some extreme yield problems with the current design. Not only are there few working dice per wafer, but a large number of those dice only have 16 pixel units working, and others are lucky to get 24 working. The information I received suggested that the R520 was in fact designed with 32 pixel units (each with multiple ALU’s), but due to the issues that the chip is facing, very few of them so far are fully functioning. There are of course fully functioning parts that have been shown behind closed doors, and apparently Abit showed off a working card at AConn that scored some impressive 3D Marks.

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http://www.forbes.com/markets/2005/06/07/0607automarketscan10.html?partner=yahootix&referrer=

First, we remain concerned with the delay of ATI's next generation high-end graphics processor, code-named R520, which appears to be now due out in August, flatly missing the 'spring refresh' window. Given the tape-out took place as far back as October, and Taiwan Semiconductor's yields on 90nm have been generally good on other products including the Xbox 360 graphics chip, we believe the delay is due to a design issue.

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On a side note, though this news is about their PC R520 desktop chip, I *really* hope ATI doesn't manage to bungle the XBOX360 launch with a R500 design that results in poor yields.

 

[holydeadpenguins]

W00t! GO NVIDIA!

 

[tranCendenZ]

W00t! GO NVIDIA!

This news does seem to have some truth to it.

This was from yesterday:

However, financial analysts are claiming that NVIDIA and Intel are putting enough pricing pressure on ATI that it's starting to effect average selling prices and gross margins.

"What's happened is that they're probably losing market share in the notebook space to Intel and they're getting pummeled here in the mainstream low end [by] Nvidia," says Hans Mosesmann, analyst at Boston-based Moors & Cabot Capital Markets, a financial-services firm

 

[Raxxman]

Compatition is good.

the Nvidia have done well recently, hopefully ATI will be able to bite back.

 

[J_Tweedy]

Ati will spring back- there needs to be another competing manufacturer, or prices will soar on the Nvidias. I am an nividia man myself, but still not happy to see this.

 

[Asuka]

Compatition is good.

the Nvidia have done well recently, hopefully ATI will be able to bite back.

100% Agreed.