Nvidia on Thursday disclosed a charge of US$119.1 million for its second fiscal quarter, ended July 26, to cover costs related to a faulty die and weak packaging material used in its graphics chips.
It was Nvidia's second charge related to the faulty chips. Nvidia recorded a $196 million charge during last year's second fiscal quarter to cover warranty and product replacement costs associated with the issue.
Nvidia last July reported that some graphics chips were overheating due to weak packaging material and the thermal design of some laptops. PC makers such as Dell, Hewlett-Packard and Apple used the faulty graphics chips in their products. Following the revelation, PC makers put programs in place that would either fix the BIOS or replace PCs that had the faulty chips. The costs of those programs were shared between Nvidia and the manufacturers.
More: http://pcworld.com/article/169796/
It was Nvidia's second charge related to the faulty chips. Nvidia recorded a $196 million charge during last year's second fiscal quarter to cover warranty and product replacement costs associated with the issue.
Nvidia last July reported that some graphics chips were overheating due to weak packaging material and the thermal design of some laptops. PC makers such as Dell, Hewlett-Packard and Apple used the faulty graphics chips in their products. Following the revelation, PC makers put programs in place that would either fix the BIOS or replace PCs that had the faulty chips. The costs of those programs were shared between Nvidia and the manufacturers.
More: http://pcworld.com/article/169796/