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Nvidia, Sony Co-Develop GPU for PlayStation 3

By Ann Steffora Mutschler -- EDN, January 6, 2005

Promising breathtaking images that will surprise and captivate consumers, Sony Computer Entertainment Inc. (SCEI) announced in early December that it was collaborating with Santa Clara, Calif.-based Nvidia Corp. on a next-generation GeForce graphics processing unit (GPU) to power the anticipated PlayStation 3 gaming system.

For two years the companies have worked closely on the next-generation PlayStation computer gaming system, not even expected to hit the market until 2006, which is to employ a combination of Nvidia’s graphics technologies and the “Cell” processor, an advanced microprocessor under development by IBM, Toshiba and Sony Group.

The technology uses massive data bandwidth and floating point capabilities, coupled with a parallel processing architecture, to deliver what IBM said will be a “quantum-leap innovation to entertainment applications.”

Nvidia isn’t fleshing out technical specs of the GPU, except to say that it is based on the company’s next-generation processor, and will be the most sophisticated GPU it has ever built, a company spokesman told Electronic News.

Game Console Market In Holding Pattern

Until the next generation of game consoles come to market, the video game console market is expected to remain in the back end of its current cycle, with declining shipments expected to continue, according to Scottsdale, Ariz.-based In-Stat/MDR.

Although the market research firm found that Sony still dominates the market with its PlayStation 2 console, which shipped its 70 millionth unit last January, competition has been fierce.

“As is typical with the back end of a market this one is characterized by companies cutting prices on both hardware and software to entice more casual, value-oriented consumers,” noted Brian O’Rourke, senior analyst with In-Stat/MDR, in a statement.

“However, as can be expected, year-over-year shipment declines will continue until all next-generation consoles are on the market in 2006.”

Microsoft’s Xbox 2 is expected to hit the market late this year with Sony readying the PlayStation 3 by mid-2006, In-Stat/MDR also reported. Nintendo is expected to try launching its next-generation GameCube 2 console either before or simultaneously with Sony – its primary competition.

In-Stat/MDR also predicts Sony will ship the most consoles through 2008 based on its proven track record over the last 10 years and marketing prowess, even as Microsoft and Nintendo are expected to narrow Sony’s lead.

The Sony-Nvidia collaboration was made under a broad, multi-year, royalty-bearing agreement with the custom GPU serving as the graphics and image processing foundation for a broad range of applications from computer entertainment to broadband applications. The agreement also encompasses future Sony digital consumer electronics products, although the companies are remaining mum on details there as well.

“In the future, the experience of computer entertainment systems and broadband-ready PCs will be fused together to generate and transfer multi-streams of rich content simultaneously,” said Ken Kutaragi, who serves as executive deputy president and COO at Sony, as well as president and group CEO at SCEI, in a statement.

“In this sense, we have found the best way to integrate the state-of-the-art technologies from NVIDIA and SCEI. Our collaboration includes not only the chip development but also a variety of graphics development tools and middleware, essential for efficient content creation,” he explained.

Jen-Hsun Huang, president and CEO at Nvidia said the company is thrilled to partner with Sony to build, “what will certainly be one of the most important computer entertainment and digital media platforms of the twenty-first century.”

The custom GPU will be manufactured at Sony Group’s Nagasaki Fab2 as well as OTSS, the joint fabrication facility of Toshiba and Sony.  Nvidia said sampling would begin in 2005.

With SCEI being a world leader in consumer electronics, and the volumes of its current entertainment system being very large, Nvidia said it expects this deal to represent a very good revenue stream for the life of the platform.

With the next generation of video game systems on the horizon combined with the opportunities in mobile gaming, the prospect for semi players in the gaming market is promising, particularly with heavy-hitters Intel and AMD throwing their hats into the ring.

Targeting the “digital home,” Intel’s Pentium 4 processor Extreme Edition with support for hyper-threading technology features a 1066MHz system bus enabled by the Intel 925XE Express chipset, an extension of the 915/925X Express chipset family launched earlier this year. Together, the system bus and 925XE provide a maximum data throughput improvement of up to 33 percent, Intel said when the chip was announced.

On the other hand, AMD’s processors aimed at hard-core gamers look to use strained silicon on insulator (SOI) technology to enable extreme PC performance.

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