There have been so many rumors about NVIDIA's newly released GeForce 256 becoming the crown jewel for Microsoft's X-Box. Whilst we cannot confirm the validity of this rumor, it's easy to see why NVIDIA has been pointed at like it has. If indeed Microsoft is to use an AMD K6-2/3 the added bonus of a GeForce 256 with its on-board geometry co-processor would rescue some of the dog legs associated with the six-issue RISC86® superscalar microarchitecture (poor FPU). Whoever wins the DirectX 7.0 compatibility crown will probably be first in-line for Microsoft's X-Box. NVIDIA's GeForce 256 and T&L engine rely heavily on DirectX 7.0 compatible games and indeed claim to be the 'DirectX 7.0' card of choice.
On the flip side, would NVIDIA really be able to pull off a project like this with Microsoft? 3dfx' partnership with SEGA for the Dural (Sega's code name two years ago for the Dreamcast) fell apart some 18 months ago and although both parties seemed to be satisfied with the end result the real reason for the 'split' then came down to capabilities in terms of supply and yield levels. Making 3D chips for a console company such as SEGA is a different ball game when compared to the PC sector. Hundred's of thousands of chips need to be produced in a month alone to temper the demand that a 'SEGA' would impose upon a 3D-chip manufacturer. 3dfx does not own its own chip FABs and simply could not match the numbers and resources necessary to cater to SEGA's demands.
On the other hand, NEC, who owns some of the world's largest, most productive and most advanced FABs, could step in and deliver (only just, mind you) PowerVR Series 2 chips but at a price. As a result of this focus upon the Dreamcast VideoLogic (now Imagination Technologies) were left chipless for the PC sector. Their entrance to the PC market was some 18 months late and hence they somewhat missed the boat in our beloved PC market. Bearing this argument in mind, would NVIDIA wish risking their position at the top of the PC graphics industry to embark on a dangerous and resource sapping project like the X-Box will most likely be? Just like 3dfx (who were also dominant back in 1997 when they went with the Dural), NVIDIA does not posses their own FAB and goes through Taiwan's TSMC.
If you read NVIDIA's recent press literature carefully, they sure seem to hanker for sinking their digits into as many pies as possible. In that light, it doesn't seem out of line for them to enter the console arena and their relationship with Microsoft is already a cosy one, having contributed significantly to the implementation of the new features in DirectX 7.
Since fingers are being pointed left, right and center let's point a few more. We've heard through the grapevine that there's a strong possibility that PowerVR Series 3 will not be the 3D chip of choice for Sega's next project, which leaves the door, wide open for them to jump ship. VideoLogic has since partnered with ST MicroElectronics, whilst far from being an NEC, do indeed posses their own FABs. Then there's the rest of the pack? ATi, Matrox, S3 and 3dfx once again. Don't discount any of them since they all seem to be pushing for the title of Direct X7 'champ' over the next 6months. Microsoft is in no hurry to put pen to paper with the release of the PSX2 in the US being a year away.