High tech microchip processor company, NVIDIA wants to hobnob with the big boys. These include the likes of Apple and Samsung. It is for this express purpose that it has decided to license its graphics technology to these behemoths. The supply to these big guns on a contractual basis could prove quite beneficial for NVIDIA. This way, what was strictly off-limits to the green eye logo, company will be within reach. The doors to smart phones and tablets will automatically open up for NVIDIA once it lends the mechanism moguls its graphics modules and visual patents. This is a very cunning, shrewd and perceptive strategy that the firm is playing in a desperate effort to reach markets that were closed.
The CEO also said in an official blog post that the global environment had fundamentally altered and that the same business models that had worked so well in the past were obsolete in the present day and time. A fresh approach that took into account the Zeitgeist along with the target audience was paramount. The fact of the matter is that the PC market is in a slump. Smart phones and touch screen tablets are all the rage nowadays. The chunky consoles gave way to the laptops which in turn have given way to slimmer, sleeker and even more silent devices that fit in so much electronic circuitry into so little space.
These trends point to a different set of tactics and NVIDIA is ready to get out of its comfort zone. That is the only road that leads to success. The alternative would be stagnation and a slow retardation of growth. The main competition stems from Qualcomm, Apple and Samsung. All three make their own processors for their rerespective devices. The only sane solution to this dilemma would be the licensing of its graphics technology. This is a last ditch stand that is bound to work in its favor. Negotiations have already begun. NVIDIA is also ready to debut its LTE technology. The whole scheme is a part of its plan to go from egocentricity to fully-fledged maturity.
The opportunity has arrived and fortune is on NVIDIA’s side provided it makes its moves on the chessboard of high tech global politics very carefully and with practical acumen. NVIDIA already licenses its GPU technology to Sony for its Playstation 3 and as far as Intel is concerned it pays NVIDIA $250 million per annum in licensing emoluments (the results of a court case that was sealed two years back). In the final analysis, NVIDIA will have to ultimately rely on its Kepler architecture GPU technology as the only trump card up its sleeve.