AMD and ATI engineers are working together on a unified chip that will have a GPU and CPU on the same silicon.
We learned this from high ranking sources close to the companies, more than once.
Don’t get too excited as it will take at least eighteen months to see such a dream come true.
This is the ultimate OEM chip, as it will be the cheapest way to have the memory controller, chipset, graphics function and CPU on a single chip. This will be the ultimate integration as will decrease the cost of platform and will make even cheaper PCs possible.
AMD/ATI engineers will be looking to the shift to 65nm or even 45nm to make such a complex chip possible. More info at The Inq.