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© jackie-egginton-dreamstime.com Electronics Production | June 20, 2013

Nvidia changes on licensing structure

With the declining sales of traditional PC's and an ever changing industry, Nvidia has decided that it too needs to change.
In the company blog, Nvidia writes that the changes are present everywhere, and new technology leaders are emerging. Some companies creates chip from stadard industry chip, others do everything themselves.

”For chip-makers like NVIDIA that invent fundamental advances, this disruption provides an opening to expand our business model. Not so long ago, we only made and sold GPU chips, albeit the world’s fastest ones", the company writes in the blog, continuing:

"But it’s not practical to build silicon or systems to address every part of the expanding market. Adopting a new business approach will allow us to address the universe of devices.

So, our next step is to license our GPU cores and visual computing patent portfolio to device manufacturers to serve the needs of a large piece of the market.”

This is not the first time the company has moved along this path. Earlier on, architecture was licened to Sony for the Plyastation 3. Nvidia also receive more than $250 million a year from Intel as a license fee for our visual computing patents.

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