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Ivy Bridge's Integrated Graphics System Eliminates the Need for Basic Graphic Cards

NEW YORK, NY -- (Marketwire) -- 04/30/12 -- The bar has been raised for chip makers with the introduction of Intel's Ivy Bridge processors. The new Ivy Bridge chips promises faster processing power and improved graphics, thanks to their integrated graphics system. The introduction of the Ivy Bridge chips has some analysts saying this could mean "doom" for dedicated graphics card producers. Five Star Equities examines the outlook for companies in the Semiconductor Industry and provides equity research on NVIDIA Corporation (NASDAQ: NVDA) and Advanced Micro Devices, Inc. (NYSE: AMD).

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The Ivy Bridge Chip has functionally destroyed any reason to buy a basic video card with its integrated graphics system. There is a very small market of people who seek out high-performance graphics cards, mostly comprised of "hardcore" gamers. The improved graphics provided by the Ivy Bridge chips will likely satisfy the needs of the average consumer.

"Ivy Bridge is continuing a downward spiral for graphics card manufacturers that has been going on for a while now," said analyst Jack Gold of J. Gold Associates. "Extreme gamers who want very powerful graphics cards are in a niche market already, and it's shrinking. That doesn't bode well for Nvidia, because their graphics chip market is falling off faster than their mobile chip market. For 95 percent of the folks out there, integrated graphics will be what they want."

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"Some people are assuming that everyone will have the latest [and fastest] flavor of Ivy Bridge and that's a false assumption," said Nvidia Corporate Communications Representative Ken Brown in a recent interview. "We've found in the past that about half the latest games don't play effectively on integrated graphics, especially in the case of Sandy Bridge. Ivy Bridge seems to have improved, but there may still be issues with big games like Battlefield 3."

AMD recently introduced its full line of revolutionary mobile discrete graphics based on the company's acclaimed Graphics Core Next (GCN) architecture, which includes the AMD Radeon HD 7900M, HD 7800M, and HD 7700M Series GPUs. New to the AMD Radeon HD 7000M Series is AMD Enduro technology, the latest cutting-edge power solution from AMD which automatically and seamlessly switches between integrated graphics and the AMD Radeon discrete GPU.

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