informa
/
1 MIN READ
News

Nvidia, Microsoft Resolve Xbox Dispute

Nvidia and Microsoft announced that they have settled their dispute over the price of the graphics chips Nvidia is producing for the Xbox -- a spat which has dragged on for almost a year.
The issue had been a sore spot for Nvidia, which wanted to preserve the potentially lucrative deal with Microsoft, but couldn't continue under the current terms. The chip maker complained that its deal to supply the graphics subsystem of the Xbox was structured such that the graphics company was losing money on each chip produced. Ostensibly the problem stems from early, misguided assumptions of Xbox sales. It is believed that the price at which Nvidia agreed to its chip to Microsoft was based on a higher volume of Xbox sales, and sluggish console sales forced Nvidia to scale back manufacturing to the point where it no longer made a profit on each chip. The two companies entered into arbitration to settle the matter, and apparently resolved their differences. The terms of the deal were not revealed, but Nvidia said it would provide more information during a conference call on February 13. Today Nvidia's stock was up just 8 cents, or one percent, closing at $10.22.

Latest Jobs

Cryptic Studios

Remote
1.19.23
Senior Producer

Anne Arundel Community College

Arnold, MD, USA
1.30.23
Instructor/Assistant Professor, Game Art

Night School Studio

Los Angeles, CA, USA
1.09.23
Level Designer / Scripter, Games Studio
More Jobs   

CONNECT WITH US

Explore the
Subscribe to
Follow us

Game Developer Job Board

Game Developer Newsletter

@gamedevdotcom

Explore the

Game Developer Job Board

Browse open positions across the game industry or recruit new talent for your studio

Browse
Subscribe to

Game Developer Newsletter

Get daily Game Developer top stories every morning straight into your inbox

Subscribe
Follow us

@gamedevdotcom

Follow us @gamedevdotcom to stay up-to-date with the latest news & insider information about events & more