updated 10:00 am EST, Mon November 6, 2006
NVIDIA Gets PortalPlayer
NVIDIA announced on Monday that it would be acquiring chip designer PortalPlayer for $357 million. The acquisition is described by NVIDIA as an extension of the company's experience with graphics into the realm of handhelds, such as portable media players and smartphones. "We intend to drive the next digital revolution, where the mobile device becomes our most personal computer," NVIDIA's president Jen-Hsun Huang says. While NVIDIA has experience developing for handhelds with its GoForce video chipset, the company has never had its own complete devices. The move will see PortalPlayer, who is well-known for producing some of the processors that drive the iPod and other media players, integrate its own technology with NVIDIA to create a platform for future handhelds. Neither company has formally announced new hardware or a timetable for the first product of the merger.