The NVIDIA GeForce 8800 GTX and GTS graphics chips are as programmable as the average processor, The Inq reports.
This may answer the question, can and will Nvidia make a CPU? Certainly the chip is not meant to be X86 compatible but it is apparently super programmable. We hear that it could probably handle X86 instructions as well.
AMD techies took a deep look at the G80 and confirmed the claims. G80 has all the features of CPU but it is big, hot and bulky. However, Nvidia still has to shrink the chip to make it cost effective.
The G80 is still big and hot but that may change later this year as NVIDIA moves to a smaller production process. All NVIDIA needs now to make processors is a x86 license.