Intel buys entry-level chipsets from ATI

Intel recently announced they have problems with their entry-level chipset production capacity and today DigiTimes reports the chip giant has ordered PCI Express RC410 chipsets from ATI in order to maintain its supply of 915-based motherboards as Intel is planning to phase out the 865 and 915PL/GL chipsets in the fourth quarter and exit the entry-level chipset market.

DigiTimes reported earlier that Intel may purchase entry-level chipsets, mainly the 661FX, from Taiwan-based Silicon Integrated Systems (SiS) for its 865-based entry-level motherboards. The Commercial Times indicated that Intel may also include SiS’ 661GX chipsets for its motherboards. Intel may purchase a combined volume of 1.5 million chipsets from ATI and SiS per month, with shipments to start in October this year, the paper said.