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That’s just speculation, but Digitimes believes that NVIDIA might partner with Intel in the Mobile Internet Device (MID) space. Personally, I’m thinking “NetTop” and not MID, but their idea is to pair Intel’s ATOM processor with a low-cost NVIDIA GPU capable of decoding HD video and even run DX10. That would be the best of both worlds, as Atom is better than Via’s C7, but it is not capable of doing anything graphically interesting. NVIDIA and Via currently have a $45 design that is fast enough to be a home entertainment system.

I’m not in the know, but I suspect that Intel needs

to provide a license to NVIDIA in order to build a chipset compatible with ATOM. Providing the license might give ammunitions to NVIDIA, which (parts of) Intel sees as an adversary. Not providing it helps Via because they would be the one taking advantage of NVIDIA’s graphics. Of course, another solution for Intel is to hang-on and develop their own GPU, but that’s far down the road… 

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