Nvidia Corp. recently announced that it had detected issues with chipsets and graphics processing units (GPUs) in certain mobile computers and said it would have to replace the parts. Shortly after that market rumours revealed that Nvidia might have problems with desktop graphics chips too, which now causes certain channel vendors to demand makers of graphics cards to recall their products.
Unofficial sources claim that certain Nvidia GeForce graphics chips for desktops released last year have problems with packaging, which causes the GPUs or chipsets to fail eventually. Since Nvidia has not provided enough information in its guidance for investors, many resellers within the sales channel now demand their suppliers to recall all the graphics cards that are presumably based on the GeForce 8600- (G84) and GeForce 8500- (G86) series graphics processors.
The reaction of actual graphics cards manufacturers was unclear from a short filing by DigiTimes web-site, which usually cites unnamed makers of computer components. However, it was indicated that Nvidia itself does not believe that its desktop GPUs may fail like mobile graphics chips and core-logic sets.
If resellers and makers of graphics cards prove that desktop GeForce 8600- and 8500-series graphics cards may also malfunction in certain conditions or if end-users start to return their graphics boards to stores, then Nvidia may have to take additional charge in order to fix the issue. In any case, channel vendors insisting on a recall for graphics cards has already hurt the reputation of Nvidia.
It should be kept in mind that presently few customers are likely to buy mainstream GeForce 8-series products since the demand of end-users has already shifted to higher performance products. As a result, resellers would be glad to get rid of such devices using any means.
Nvidia did not comment on the news-story.
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