multigl2 said:you fail to understand that neither company actually produces the chips. The fab company's burden the cost of production, because they have contracts with ATi and NVIDIA to produce X amount of chips... so technically, since neither ATi or NVIDIA produce their own chips, they don't get hit with fabrication size costs --- although if they wanted a contract for a chip with 200Mt's on .15, they might have to pay the premium
Of course ATI and nVidia have to shoulder the fabrication size costs. They have to pay TSMC money, don't they?
After all, most of the cost, once full production has begun, is in the silicon wafers. This is most of the cost that TSMC passes on to its customers as well.