So, they have a CPU ready?
Does AMD (the combo CPU/GPU)? And does Nvidia even need to counter an integrated CPU/GPU low-end system? I'm not sure one has to counter everything a competitor does. Worst case loss for Nvidia, if the entire MCP business unit went away would be a 17% reduction in revenues. But MCP is already more pricey and more difficult to implement than other core logic and integrated chipsets out there, yet Nvidia has increased its marketshare, so purely price and ease of implementation alone can't be the sole determining factor here (no matter how desirable a combo low-end unit looks) SoC designs look like big wins, but historically, they seem to win most in mobile applications where form factor, density, power, heat, and cost have bigger factors. The more "mobile" the device, the more important these factors. By contrast, I'm not sure they are all that important for mid-range PC desktops. 15 years ago, SoC designs were "coming" for desktops. The hype was, your CPU will have integrated IDE, memory, UARTs, VGA, memory controller, etc. You'd basically just have to hook up memory, and disc and done. The utopia never arrived, and I don't really see it arising for desktops. I'd frankly always want a separate CPU with 100% of trannies used for CPU in my business desktop or midrange system, because it's frankly not a gaming platform, but a platform for doing work. It needs to run by IDE, spreadsheet, browser, enterprise apps, well.
I think paradoxically, AMD's combo-cpu/gpu is more of a threat to Nvidia's notebook revenues. IMHO.
AMD is making a big bet that integrated on-CPU gfx is going to be a big winning factor in markets Intel completely dominates today, and I just don't think Intel's dominance of the market is based on "better" technology.