Company Questions

Has ATI considered moving beyond the video chip/card market?

A. ATI will continue to focus the majority of its resources on the PC market.  With a strong foundation in that market we can then expand out into new markets such as set top boxes and PDAs.

What do they see as the "sweet spot" price for high-end gaming cards?

A.  We feel the “sweet spot” for gamers is between $150-$200.  We currently offer the RADEON™ 64MB DDR card for $199 (after rebate) and the RADEON™ 32MB SDR for $149(after rebate). 

What has made your company successful in the past and will you rely on this in the future?

A. Success is a result of understanding what customers want and delivering a product that they need.  Future success will rely on our ability to innovate at the right inflection points, lead in technologies and execute and deliver products.

What have you learned from the #9, S3 and 3dfx disasters?

A. That we must continue to lead, innovate and execute to be successful in this highly aggressive market.

There are currently only 2 high performance graphics companies represented in the consumer market; ATI and Nvidia. Is this sufficient for a good level of competition? What other companies are seen as serious competitors in the future?

A. We believe that our people will continue to innovate and create new markets independent of our competition.  We will continue to push the envelope of 3D, and multimedia and drive for the convergence of these technologies in the Game PC.  The barriers to entry have increased significantly, but we would not rule out other competition.   For example, Intel is both a partner and in some segments a competitor.  Competition is good for the industry and will continue to drive the marketplace.   

Where do you see you and ATI 2 years from now?

A. ATI started with the PC market and we’ll continue to build on this base as the market expands in both the desktop and mobile areas.  We announced the Intel cross license to help accelerate our entry into the integrated segment.    We have the talent to continue the product innovation for the games segment, and take gamers where they have never been before.

As a natural product and market expansion, we have moved into the set-top box market, the game console market, and we are making some advances in the wireless area.

Two years from now, we expect to see the PC market continue its drive toward low-cost solutions for the desktop and mobile markets.  The PC market will continue to be the center of innovation for performance 3D and media solutions for businesses and consumers.  We see ATI at the center of this market.

We'd like to thank all of you as well as ATI's Dave Orton for taking the time to respond to these questions.

Future
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