Advanced Micro Devices Inc. will continue to supply ATI graphics chips for PCs based on Intel Corp. microprocessors despite the fierce competition between the two companies, AMD's chief technology officer said in an interview. The Intel question loomed large after AMD bought ATI last year. Many believed that AMD would stop supporting Intel microprocessors with the ATI chips, and that Intel would encourage its customers to use its own graphics chips or those from other companies besides AMD.
AMD CTO Phil Hester said at Computex last week that AMD will continue to supply ATI graphics products that work with Intel processors. It makes business sense for AMD to do so and there's still a healthy market for ATI products paired with Intel processors, he said. AMD also believes that the introduction of its Fusion chips in 2009, which will put graphics functions and the microprocessor on a single chip, will not spell the end for discrete graphics components, Hester said. That's good news for gamers and other people who want top-end multimedia performance for work or home applications. Graphics cards with discrete GPUs (graphics processing units) have always delivered far better performance than chips with graphics built in, such as PC chipsets.