That’s a rumour posted today by Bright Side of News.
Theo Valich, the well connected editor-in-chief of Bright Side of News, reported today that he learned of a “coffee table” discussion between Intel and NVIDIA about an acquisition deal that would see NVIDIA be acquired by Intel with NVIDIA’s CEO, Jen-Hsun Huang, preside over the new company.
Both companies have an active NDA which prevents them to talk about the said deal. The in-depth NDA (which enables to dig around finances, finding skeletons in the closet, etc.) comes from the first talks both companies had about the acquisition, which would have seen Intel Sandy Bridge and Ivy Bridge processors to be powered by GeForce graphics. Nvidia said no, as we all know now.
This time around, our sources have said that Intel did not categorically say no to one of requirements, should Nvidia be acquired – and that is that the CEO of Nvidia and the senior management take over the respectable roles in the new entity, regardless of the entity size. Remember that this requirement sunk the finalization of Nvidia-AMD tie up in 2005, which in turn ended with AMD paying $5.9 billion for ATI Technologies.
While this is certainly unexpected there are a few factors that might make this remotely plausible:
1) The Intel Board of Directors has been rumoured to have expressed interest for an external candidate to replace its retiring CEO.
2) Intel doesn’t have much in the line of mobile offerings, whilst NVIDIA is almost the mobile market hegemon.
3) Theo Valich is one of the best connected journalists in the technology sector. Granted, he’s not always right but what he reports is worth investigating.
While this rumour certainly cannot be independently confirmed, it is a worthwhile mental exercise to consider.