True, so even if IBM keeps it all to itself, it can still spread out
the development costs between both the Power & Opteron servers it
sells.
Yup, that would be the main advantage for IBM.
Secondly, the reason IBM has any kind of a "high-end" X3 chipset for
Xeons is due to the Xeons' inherent limitations in the multi-processor
realm. That's not the case with Opteron, so much. So there won't be as
much need for a high-end chipset with these systems anyways. Even the
Newisys Horus chipset seems to have fallen by the wayside, because it's
looking like with AMD increasing the number of HT links in Opteron upto
4 from 3 might be enough to make Horus redundant. So in a similar vein,
IBM chipset development might become redundant.
Except at the very high-end, yes. The Opteron still probably won't
scale all that great beyond 4 sockets with a glue-less design,
certainly going beyond 8 sockets is out of the question. IBM could be
well served by designing their Power7 chips to use Hypertransport and
designing high-end chipsets to go along with this for their top-end
Power servers. If needed they could also incorporate Opteron chips
into these high-end servers, though more likely the transfer would
flow the other way, ie Power chips with 3rd party chipsets for the
lower range of Power servers. I'm not sure that there's enough of a
market for 4+ socket x86 servers, especially given that quad-core
processors will be widely available in the timeframe we're talking
about. However there does still seem to be a market for lower end
(1-4 socket) Power servers.
Never said they do sell services, but they make quite enough money from
chipsets to make a decent enough profit.
nVidia does, though I think that's more due to their desktop chipset
sales. Their server chips are really just lightly modified desktop
chipsets. If they had to develop these chips all on their own than
the volume probably wouldn't be enough to make much money, even with
the high profit margins of server parts.
Broadcom, on the other hand, probably isn't doing too hot with their
Opteron chipsets. I'd be quite surprised if they were breaking even,
let alone making a profit. They don't break down their profits by
division, but the old Serverworks group didn't even get a mention in
their latest financial report, unlike the guys that made the Bluetooth
chip to go into the controller for the Nintendo Wii. Seems to me like
this is a pretty fringe group who's time may be rather limited.
Why would that be? If it makes sense for Sun, why not IBM? IBM has its
own set of Opteron servers and its own RISC servers, just like Sun. The
same level of sharing between RISC and Opteron infrastructures could be
driving IBM too.
You don't see Sun rushing to move their UltraSparc chips to
hypertransport, do you? It might make some sense, just as it makes
some sense for IBM to move Power there, but it's definitely not the
same thing as with Niagara chips. Different markets with different
needs. Where Niagara is pretty much a win-win situation for Sun,
UltraSparc and IBM's Power are much less so.