There were some articles last month that indicated that Sony was seeking PowerVR/ARM-based hardware for the next generation PSP.
It's sorta ironic though. People forget that Imagination Technologies (IMG as they refer to them in the article, which is their stock exchange name) were the creators of the Dreamcast GPU (though it was fabricated by NEC). So, here was Sony a decade ago, marketing against the Dreamcast and its "inferior" technology, yet they are using a modern-day variation in their PSP2. Kinda funny, I think.
But that's exactly why PowerVR dumped desktop GPU design in favor of small, efficient, and fast mobile and set-top technology. Nobody else cared at the time, and they seem to have *the* product if you want high--powered 3D on-the-go. Nintendo and nVidia have a long-way to go if they want to catch up. Low-powered chips for small devices are not nVidia's strong point.
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