NVIDIA (NYSE:NVDA) is the only publicly traded company that focuses exclusively on graphics chips. About 80% of the company’s graphics chips go into PCs, with the rest split between servers, handheld devices, and video game consoles. NVIDIA’s primary competitors are AMD and Intel, and NVIDIA and AMD each focus on building graphics chips for high-end products.

NVIDIA's long term growth is most threatened by competitors offering platforms that combine several chips using a central processing unit (CPU), operating system, and graphics processing unit (GPU). As a result, the growth of platforms is a major threat to NVIDIA’s core business. Intel released its Centrino platform for notebooks and AMD has a similar platform called Puma. But NVIDIA has tried to get in the game as well, building a platform for netbooks (aka Mobile Internet Devices) known as Tegra which competes head to head with Intel’s Atom platform.^[1] However, NVIDIA is at a severe disadvantage to competitors AMD and Intel who have been developing an array of different chips for years, making the transition to platforms far more natural for them.

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