At NVIDIA's annual shareholder meeting, the company's CEO Jen-Hsun said that NVIDIA has no plan to get into CPU development:
With AMD and Intel both having CPU, chipset and mainboard products, speculation has been rife that Nvidia could add the third limb to its product development team to compete.
But it seems that this is not to be, and Nvidia will continue to focus on GPU and the GPGPU field. We suspect that the renewed focus will result in the boys from Satan Clara becoming the sole provider of high-end graphics hardware, as the other two firms focus on the mainstream and shirk away from the effort of bleeding edge graphics development.
Additionally, Jen-Hsun is said to have commented that he would "welcome" additional competition in the high-end GPU space from Intel, should its team decide to turn their hand to GPUs beyond Larrabee.